22.07.2010, 17:03 Uhr
CA Techologies gibt Ergebnisse des 1. Quartals 2011 bekannt
Ergebnisse gemäss den gesetzten Erwartungen.
Press Release
CA Technologies Reports First Quarter 2011 Results
• Revenue $1.091 Billion, Up 3 Percent in Constant Currency and 5 Percent as Reported
• GAAP EPS $0.43, Up 7 Percent in Constant Currency and Up 16 Percent as Reported
• Non-GAAP EPS $0.45, Down 1 Percent in Constant Currency and Flat as Reported
• Reaffirms Revenue, Cash Flow 2011 Fiscal Year Outlook; Increases GAAP and non-GAAP EPS Guidance
ISLANDIA, N.Y., July 21, 2010 – CA Technologies (NASDAQ:CA) today reported financial results for its first quarter ended June 30, 2010.
EXECUTIVE COMMENTARY
“In fiscal 2011, our focus is on execution as we grow our core mainframe business and continue to build out our product platforms in virtualization management, service assurance, and identity and access management, which serve as on-ramps to emerging technologies in the cloud and software as a service,” said Chief Executive Officer Bill McCracken. “First quarter revenue and earnings met our expectations and we will continue to make changes to the Company’s operations to improve execution and accelerate the sale of new products. We believe these actions will help us realize our long-term strategic and financial goals and further unlock shareholder value. "Customer requirements drive our business model. During the first quarter we introduced more than 20 new products and invested in our CA World user conference, demonstrating the power of our product portfolio to more than 5,000 customers and prospects,” continued McCracken. “In addition, to better align the Company with our target markets, we divested certain non-strategic products and created two new organizations – the Customer Solutions Group and the Technology and Development Group. Working with our existing sales organization, the new organizations will drive collaboration and accountability across the Company, while enabling CA Technologies to deliver even greater customer service and product innovation."
FIRST QUARTER REVENUE AND BOOKINGS
Total revenue growth in the first quarter can be attributed primarily to increased execution of services engagements and revenue associated with the sale of software products obtained through the acquisition of NetQoS, Nimsoft and 3Tera. Bookings were down primarily due to a renewal portfolio that was only about one half of the portfolio available in the year ago period. Weighted average contract duration was down due to lower scheduled contract renewals in the first quarter of fiscal 2011 compared with the first quarter of fiscal 2010 and a higher percentage of new product transactions that generally are for a shorter duration than renewals of existing contracts. However, the decrease in duration contributed to current revenue backlog growth compared with the prior year period, which is an important indicator of future revenue levels.
• Revenue was $1.091 billion, up 3 percent in constant currency and 5 percent as reported.
• Total revenue backlog was $7.7 billion, up 2 percent in constant currency and flat as reported. The current portion of revenue backlog was $3.4 billion, up 4 percent in constant currency and 2 percent as reported.
• North America revenue was $666 million, up 6 percent in constant currency and 7 percent as reported.
• International revenue was $425 million, down 1 percent in constant currency and up 1 percent as reported.
• Total bookings in the first quarter were $750 million, down 36 percent in constant currency and 37 percent as reported primarily due to the above mentioned smaller renewal portfolio.
• The Company signed six license agreements with aggregate values greater than $10 million for a total of $188 million, compared to 13 deals for a total of $634 million in the first quarter of fiscal year 2010. The first quarter of fiscal year 2010 included several contract extensions with terms greater than 4.5 years, four of which had a combined incremental value of approximately $465 million. The majority of these extensions were with managed services providers who traditionally extend contracts for longer than average lengths.
• The weighted average duration of subscription and maintenance bookings for the quarter was 2.9 years, down from 4.2 years in the prior year period.
• North America bookings were $459 million, down 40 percent in constant currency and as reported.
• International bookings were $291 million, down 27 percent in constant currency and 31 percent as reported.
FIRST QUARTER EXPENSES AND MARGIN
Year-over-year GAAP results:
• Operating expenses, before interest and income taxes, were $767 million, up 8 percent in constant currency and 7 percent as reported.
• Operating income from continuing operations, before interest and income taxes, was $324 million, down 8 percent in constant currency and flat as reported.
• Operating margin was 30 percent, down 1 percentage point. Expenses, operating income from continuing operations, and operating margin for the first quarter were all unfavorably affected by increased costs associated with CA World—the Company’s user conference—and additional costs associated with recently acquired businesses.
Year-over-year non-GAAP results:
• Operating expenses, before interest and income taxes, were $724 million, up 8 percent in constant currency and 10 percent as reported.
• Operating income from continuing operations, before interest and income taxes, was $367 million, down 6 percent in constant currency and 5 percent as reported.
• Operating margin was 34 percent, a decrease of 3 percentage points.
• Non-GAAP results also were affected by the increased expenses described above.
• In the first quarter, the Company reported a GAAP tax rate of 28 percent and a non-GAAP tax rate of 34 percent.
CASH FLOW FROM OPERATIONS
Cash flow from operations was $117 million compared to $262 million in the prior year. The first quarter of fiscal year 2010 included an upfront cash payment of more than $100 million associated with a large contract renewal. In addition, first quarter 2011 cash flow was affected by the increase in expenses.
CAPITAL STRUCTURE
• Cash and cash equivalents were $2.476 billion.
• With $1.558 billion in total debt outstanding, the Company’s net cash position was $918 million.
• The Company repurchased approximately 2 million shares of stock in the first quarter for a total of $40 million under the stock repurchase program authorized by the Board of Directors in May, 2010. Between July 1, 2010 and July 20, 2010, the Company purchased an additional 1 million shares at a cost of $20 million.
BUSINESS HIGHLIGHTS
During the first quarter the Company announced:
• The appointment of Arthur F. Weinbach as its non-executive chairman of the Board.
• The appointment of two senior executives to further strengthen its management team: David C. Dobson, Executive Vice President and Group Executive, Customer Solutions Group, and Phillip J. Harrington, Jr., Executive Vice President, Risk and Chief Administrative Officer.
• The divestiture of its non-strategic Information Governance business to Autonomy Corporation plc, a global leader in infrastructure software.
• A new stock repurchase program that authorizes the Company to buy up to $500 million of its common stock.
• The return of the Company to the Fortune 500.
OUTLOOK FOR FISCAL YEAR 2011
Beginning in the first quarter of fiscal year 2011, the Company is excluding share-based compensation expense from its non-GAAP financial measures. The following guidance, which represents "forward-looking statements" (as defined below), takes into account the exclusion of share-based compensation expense from future non-GAAP results. To enable fiscal year 2011 guidance for non-GAAP earnings per share from continuing operations to be compared to fiscal year 2010 full year results, the Company provides full fiscal year 2010 results for non-GAAP earnings per share from continuing operations excluding share-based compensation expense below. The Company reaffirmed its outlook issued on May 13, 2010 for revenue and cash flow and increased guidance for GAAP and non-GAAP earnings per share from continuing operations.
The Company also updated projected as reported numbers based on June 30, 2010 exchange rates:
• Total revenue growth in a range of 3 percent to 5 percent in constant currency. At June 30, 2010 exchange rates, this translates to reported revenue of $4.4 billion to $4.5 billion;
• GAAP diluted earnings per share growth in constant currency in a range of 5 percent to 13 percent, a two percentage point increase on the top end of previous guidance. At June 30, 2010 exchange rates, this translates to reported diluted earnings per share of $1.51 to $1.63;
• Non-GAAP diluted earnings per share growth in constant currency in a range of 7 percent to 14 percent, a two percentage point increase on the top end from pervious guidance. At June 30, 2010 exchange rates, this translates to reported non-GAAP diluted earnings per share of $1.82 to $1.94. Fiscal year 2010 non-GAAP diluted earnings per share from continuing operations was $1.74 excluding share-based compensation expense; and,
• Cash flow from operations growth in a range of 2 percent to 7 percent in constant currency. At June 30, 2010 exchange rates, this translates to reported cash flow from operations of $1.38 billion to $1.45 billion.
This outlook also assumes no material acquisitions and a partial currency hedge of operating income. The Company also expects a full-year GAAP and non-GAAP tax rate in a range of 33 percent to 34 percent.
The Company anticipates approximately 510 million shares outstanding at fiscal year 2011 year-end, and a weighted average diluted shares outstanding of approximately 511 million for the fiscal year. Guidance does not include the impact from any future stock repurchases.
Webcast
This news release and the accompanying tables should be read in conjunction with additional content that is available on the Company’s website, including a supplemental financial package, as well as a webcast that the Company will host a webcast. The webcast will be archived on the website. Individuals can access the webcast, as well as this press release and supplemental financial information, at http://ca.com/invest or listen to the call at 1-877- 545-1407 begin_of_the_skype_highlighting 1-877- 545-1407 end_of_the_skype_highlighting
CA Technologies Reports First Quarter 2011 Results
• Revenue $1.091 Billion, Up 3 Percent in Constant Currency and 5 Percent as Reported
• GAAP EPS $0.43, Up 7 Percent in Constant Currency and Up 16 Percent as Reported
• Non-GAAP EPS $0.45, Down 1 Percent in Constant Currency and Flat as Reported
• Reaffirms Revenue, Cash Flow 2011 Fiscal Year Outlook; Increases GAAP and non-GAAP EPS Guidance
ISLANDIA, N.Y., July 21, 2010 – CA Technologies (NASDAQ:CA) today reported financial results for its first quarter ended June 30, 2010.
EXECUTIVE COMMENTARY
“In fiscal 2011, our focus is on execution as we grow our core mainframe business and continue to build out our product platforms in virtualization management, service assurance, and identity and access management, which serve as on-ramps to emerging technologies in the cloud and software as a service,” said Chief Executive Officer Bill McCracken. “First quarter revenue and earnings met our expectations and we will continue to make changes to the Company’s operations to improve execution and accelerate the sale of new products. We believe these actions will help us realize our long-term strategic and financial goals and further unlock shareholder value. "Customer requirements drive our business model. During the first quarter we introduced more than 20 new products and invested in our CA World user conference, demonstrating the power of our product portfolio to more than 5,000 customers and prospects,” continued McCracken. “In addition, to better align the Company with our target markets, we divested certain non-strategic products and created two new organizations – the Customer Solutions Group and the Technology and Development Group. Working with our existing sales organization, the new organizations will drive collaboration and accountability across the Company, while enabling CA Technologies to deliver even greater customer service and product innovation."
FIRST QUARTER REVENUE AND BOOKINGS
Total revenue growth in the first quarter can be attributed primarily to increased execution of services engagements and revenue associated with the sale of software products obtained through the acquisition of NetQoS, Nimsoft and 3Tera. Bookings were down primarily due to a renewal portfolio that was only about one half of the portfolio available in the year ago period. Weighted average contract duration was down due to lower scheduled contract renewals in the first quarter of fiscal 2011 compared with the first quarter of fiscal 2010 and a higher percentage of new product transactions that generally are for a shorter duration than renewals of existing contracts. However, the decrease in duration contributed to current revenue backlog growth compared with the prior year period, which is an important indicator of future revenue levels.
• Revenue was $1.091 billion, up 3 percent in constant currency and 5 percent as reported.
• Total revenue backlog was $7.7 billion, up 2 percent in constant currency and flat as reported. The current portion of revenue backlog was $3.4 billion, up 4 percent in constant currency and 2 percent as reported.
• North America revenue was $666 million, up 6 percent in constant currency and 7 percent as reported.
• International revenue was $425 million, down 1 percent in constant currency and up 1 percent as reported.
• Total bookings in the first quarter were $750 million, down 36 percent in constant currency and 37 percent as reported primarily due to the above mentioned smaller renewal portfolio.
• The Company signed six license agreements with aggregate values greater than $10 million for a total of $188 million, compared to 13 deals for a total of $634 million in the first quarter of fiscal year 2010. The first quarter of fiscal year 2010 included several contract extensions with terms greater than 4.5 years, four of which had a combined incremental value of approximately $465 million. The majority of these extensions were with managed services providers who traditionally extend contracts for longer than average lengths.
• The weighted average duration of subscription and maintenance bookings for the quarter was 2.9 years, down from 4.2 years in the prior year period.
• North America bookings were $459 million, down 40 percent in constant currency and as reported.
• International bookings were $291 million, down 27 percent in constant currency and 31 percent as reported.
FIRST QUARTER EXPENSES AND MARGIN
Year-over-year GAAP results:
• Operating expenses, before interest and income taxes, were $767 million, up 8 percent in constant currency and 7 percent as reported.
• Operating income from continuing operations, before interest and income taxes, was $324 million, down 8 percent in constant currency and flat as reported.
• Operating margin was 30 percent, down 1 percentage point. Expenses, operating income from continuing operations, and operating margin for the first quarter were all unfavorably affected by increased costs associated with CA World—the Company’s user conference—and additional costs associated with recently acquired businesses.
Year-over-year non-GAAP results:
• Operating expenses, before interest and income taxes, were $724 million, up 8 percent in constant currency and 10 percent as reported.
• Operating income from continuing operations, before interest and income taxes, was $367 million, down 6 percent in constant currency and 5 percent as reported.
• Operating margin was 34 percent, a decrease of 3 percentage points.
• Non-GAAP results also were affected by the increased expenses described above.
• In the first quarter, the Company reported a GAAP tax rate of 28 percent and a non-GAAP tax rate of 34 percent.
CASH FLOW FROM OPERATIONS
Cash flow from operations was $117 million compared to $262 million in the prior year. The first quarter of fiscal year 2010 included an upfront cash payment of more than $100 million associated with a large contract renewal. In addition, first quarter 2011 cash flow was affected by the increase in expenses.
CAPITAL STRUCTURE
• Cash and cash equivalents were $2.476 billion.
• With $1.558 billion in total debt outstanding, the Company’s net cash position was $918 million.
• The Company repurchased approximately 2 million shares of stock in the first quarter for a total of $40 million under the stock repurchase program authorized by the Board of Directors in May, 2010. Between July 1, 2010 and July 20, 2010, the Company purchased an additional 1 million shares at a cost of $20 million.
BUSINESS HIGHLIGHTS
During the first quarter the Company announced:
• The appointment of Arthur F. Weinbach as its non-executive chairman of the Board.
• The appointment of two senior executives to further strengthen its management team: David C. Dobson, Executive Vice President and Group Executive, Customer Solutions Group, and Phillip J. Harrington, Jr., Executive Vice President, Risk and Chief Administrative Officer.
• The divestiture of its non-strategic Information Governance business to Autonomy Corporation plc, a global leader in infrastructure software.
• A new stock repurchase program that authorizes the Company to buy up to $500 million of its common stock.
• The return of the Company to the Fortune 500.
OUTLOOK FOR FISCAL YEAR 2011
Beginning in the first quarter of fiscal year 2011, the Company is excluding share-based compensation expense from its non-GAAP financial measures. The following guidance, which represents "forward-looking statements" (as defined below), takes into account the exclusion of share-based compensation expense from future non-GAAP results. To enable fiscal year 2011 guidance for non-GAAP earnings per share from continuing operations to be compared to fiscal year 2010 full year results, the Company provides full fiscal year 2010 results for non-GAAP earnings per share from continuing operations excluding share-based compensation expense below. The Company reaffirmed its outlook issued on May 13, 2010 for revenue and cash flow and increased guidance for GAAP and non-GAAP earnings per share from continuing operations.
The Company also updated projected as reported numbers based on June 30, 2010 exchange rates:
• Total revenue growth in a range of 3 percent to 5 percent in constant currency. At June 30, 2010 exchange rates, this translates to reported revenue of $4.4 billion to $4.5 billion;
• GAAP diluted earnings per share growth in constant currency in a range of 5 percent to 13 percent, a two percentage point increase on the top end of previous guidance. At June 30, 2010 exchange rates, this translates to reported diluted earnings per share of $1.51 to $1.63;
• Non-GAAP diluted earnings per share growth in constant currency in a range of 7 percent to 14 percent, a two percentage point increase on the top end from pervious guidance. At June 30, 2010 exchange rates, this translates to reported non-GAAP diluted earnings per share of $1.82 to $1.94. Fiscal year 2010 non-GAAP diluted earnings per share from continuing operations was $1.74 excluding share-based compensation expense; and,
• Cash flow from operations growth in a range of 2 percent to 7 percent in constant currency. At June 30, 2010 exchange rates, this translates to reported cash flow from operations of $1.38 billion to $1.45 billion.
This outlook also assumes no material acquisitions and a partial currency hedge of operating income. The Company also expects a full-year GAAP and non-GAAP tax rate in a range of 33 percent to 34 percent.
The Company anticipates approximately 510 million shares outstanding at fiscal year 2011 year-end, and a weighted average diluted shares outstanding of approximately 511 million for the fiscal year. Guidance does not include the impact from any future stock repurchases.
Webcast
This news release and the accompanying tables should be read in conjunction with additional content that is available on the Company’s website, including a supplemental financial package, as well as a webcast that the Company will host a webcast. The webcast will be archived on the website. Individuals can access the webcast, as well as this press release and supplemental financial information, at http://ca.com/invest or listen to the call at 1-877- 545-1407 begin_of_the_skype_highlighting 1-877- 545-1407 end_of_the_skype_highlighting
