MRO Software, the leading provider of strategic asset management solutions hasannounced an increase of 6 percent in its total revenues for the first quarter of fiscal 2005, which ended December 31, 2004.
Total revenues for the first quarter were US$ 47.4 million, compared with US$ 44.9 million for the first quarter last year. Based on a Generally Accepted Accounting Principals (GAAP)s, the Company reported net income for the first quarter of US$ 3.2 million or US$ 0.12 per diluted share, compared with net income of US$ 1.8 million or US$ 0.07 per diluted share for the same quarter of last year, an increase of 78 percent.
Revenues from software license sales for the first quarter were US$ 14.8 million, compared with US$ 12.2 million for the same quarter last year, an increase of 21 percent. Support and services revenues were US$ 32.5 million for the first quarter, compared with US$ 32.7 million for the same quarter last year, a decrease of 1 percent.
”The results reflect the tremendous growth witnessed by MRO in the Middle East,” said Oliver Schulz, Sales and Marketing Manager, eSolutions trading as MRO Software Middle East. “Today we have more than 15,000 users in the region and we foresee a future upward growth trend driven by the accelerated IT penetration. This has been fuelled by regional governments and businesses keen to leverage the benefits of strategic asset management. Our MAXIMO solution, a which has strong application for all asset driven organizations, is attracting an growing number of customers.”
During the first quarter, MRO Software sold software licenses to 243 clients. Customers across a range of industries and geographies purchased MRO Software products during the quarter, including BP International, DaimlerChrysler, Florida Airport Council, GE Healthcare, US Airforce, The US Department of State, and Oman WasteWater Services Co.
The balance sheet as of December 31, 2004, contained US$ 114.7 million in cash and marketable securities and no long-term debt. During the first quarter, MRO Software increased its penetration in the utilities, transportation and energy sectors and added a significant customer for facilities management in the retail space. The company is on target for the release of MAXIMO Enterprise Suite later this quarter.
The Company reaffirmed its existing guidance for fiscal 2005 and expects software revenues to grow in the range of 10 to 20 percent above fiscal 2004 results. It is also anticipated that operating margins will continue to increase. As a result, the company expects earnings to increase in the range of 15 to 25 percent over fiscal 2004 results on a pro forma basis.
