news

INFORMATICA ANNOUNCES RECORD FIRST-QUARTER REVENUES
OF $25.9 MILLION, UP 136%

Company achieves record profitability in first quarter

PALO ALTO, California, April 19, 2000 - Informatica Corporation (NASDAQ: INFA), a leading provider of analytic solutions for e-business, today announced record results for the first quarter ended March 31, 2000.

Revenues for the first quarter of 2000 were $25.9 million, a 136% increase from the corresponding quarter of 1999. Net income for the quarter, excluding non-operating charges related to the amortization of intangibles and stock-based compensation, was $0.04 per share. This compares to a net loss, excluding charges related to stock-based compensation, of $0.13 per share in the first quarter of 1999. Including all charges, net income for the first quarter of 2000 was $0.7 million or $0.02 per share. This compares to a net loss of $1.2 million or $0.14 per share for the first quarter of 1999. All per share amounts are adjusted for a 2-for-1 stock split effective March 6, 2000.

"On the heels of our tremendous success in 1999, Informatica's business continued to accelerate in the first quarter of 2000. This is illustrated by the fact that we closed the largest quarter in the company's history, signed the greatest number of customers, inked strategic partnerships with key e-business and ERP leaders, and gained traction in our analytic applications business with the introduction of Informatica Applications™," said Gaurav Dhillon, CEO of Informatica. "Simply put, our analytical solutions have become the enterprise standard for many leading companies around the world. Our continued success on the product, partnership and sales fronts positions us well to become a leader in the fast-expanding market for analytic solutions."

Informatica achieved the following significant milestones in the first quarter of 2000:

  • Signed 113 new customers. Informatica added a record number of industry-leading companies to its base of marquee customers, including eBay, barnesandnoble.com, Delta Air Lines, FedEx, Volvo, Pizza Hut, Chemdex, ShopNow.com, Nokia, Phillips Semiconductors, SBC Communications, Genencor, Remedy, Putnam Investments and Williams Information Services. Informatica now maintains a total of 751 customers.

  • Signed repeat business with 55 customers. Reflecting a high level of satisfaction among Informatica's customer base, many current customers expanded their Informatica-based implementations with additional software and services, including AT&T Broadband and Internet Services, Charles Schwab, General Electric, Hewlett Packard, Pacific Life, Avery-Dennison, Bell Atlantic, Macromedia, U.S. Postal Service, UUNET, AirTouch Cellular, Autodesk, BellSouth.net, Citigroup, Genentech, Merrill Lynch and Vlasic Foods.

  • Completed 2-for-1 stock split. The successful completion of Informatica's stock split helped Informatica make its shares more widely available to a broader base of investors.

  • Announced Informatica Applications. Informatica moved into the analytic applications market by announcing a powerful new suite of applications designed to help companies gain real-time insight across their entire 'e-business value chain.' Powered by Informatica's market-leading data-integration infrastructure software, Informatica Applications will for the first time give e-businesses the ability to evaluate the performance of their entire network of customer, partner and supplier relationships, and act upon the results to help achieve optimal business performance.

  • Partnered with Ariba, InterWorld, Broadvision and NetPerceptions. The formation of strategic partnerships with e-commerce transactions leaders helps further position Informatica's analytic solutions as a leading solution for e-business intelligence.

  • Shipped PowerCenter.e. The industry's first data-integration software designed to address the unique requirements of e-business, PowerCenter.e became generally available to customers in March, 2000.

  • Shipped globalized versions of flagship data-integration software. With this critical enhancement, Informatica strengthened its global reach by enabling resellers and distributors around the world to convert Informatica software to any major language for resale in their local markets. Through its partnership with Mitsubishi Electric Corporation, one of Japan's leading technology companies, Informatica software now supports Kanji and has already been sold to some of Japan's largest companies.

  • Signed OEM agreement with Aris Software. In order to provide Oracle Applications customers with a complete solution for unlocking their critical Enterprise Resource Planning (ERP) data for analysis, Aris selected Informatica's data-integration software to bundle with its NoetixDW product. Through its agreement with Aris, Informatica now offers the first integrated solution for accessing data from today's three dominant ERP systems.

  • Expanded Informatica's presence in Europe. Resulting in the formation of a subsidiary called Informatica Software Switzerland AG, Informatica acquired Delphi Solutions AG, a leading distributor of business intelligence software in Switzerland. The acquisition of Delphi further expands Informatica's presence in the Swiss market, home to many leading financial institutions and manufacturing organizations, and enhances the company's ability to support its growing base of multi-national customers.

  • Expanded Informatica's presence in Asia-Pacific region. Building on the strong presence Informatica has already established in the Asia-Pacific region through a strategic OEM partnership with Mitsubishi Electric Corporation, Informatica signed a master reseller agreement with Management Information Principles, Ltd., Australia's leading business intelligence consultancy group, and also opened a sales office in Singapore.

  • Won prestigious Crossroads 2000 A-List award. Following extensive interviews with customers who testified to Informatica's effectiveness in transforming enterprise data into valuable business insight, Informatica's data-integration software received an A-List award for the second consecutive year.

About Informatica
Informatica is a leading provider of e-business analytic solutions, including the industry's most powerful enterprise data-integration software platform and analytic applications that help companies evaluate their performance across the entire e-business value chain. Many of the world's largest companies rely on Informatica to integrate data from systems across their extended enterprises for analysis in order to grow their business. Informatica currently maintains 751 customers across all industries, including Barnes&noble.com, eBay, Netscape, CNET, Inktomi, Preview Travel, Priceline.com, Merrill Lynch, 3Com, Autodesk, Chevron, Met Life, Mutual of Omaha, Sprint, MCI WorldCom, Deutsche Bank, UBS, Zurich Insurance and Polo Ralph Lauren. For more information, call 800.970.1179, or visit Informatica's Web site at http://www.informatica.com/.

Statements in this press release which are not purely historical are forward-looking statements, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Forward-looking statements in this release include statements regarding Informatica being positioned to become one of the leaders in the market for analytic solutions. Factors that could cause actual results to differ materially include risks and uncertainties such as: unforeseen technical difficulties in developing and enhancing our analytic solutions and new product introductions and enhancements by competitors. Readers should also refer to the risk disclosures outlined in Informatica's Registration Statement on Form S-1 declared effective April 28, 1999 and its most recent annual and quarterly reports filed with the SEC.

For more information please contact:

Investor Contact:
Tara Calhoun
Director, Investor Relations
Informatica Corporation
(650) 251-7025
tcalhoun@informatica.com

Media Contact:
Samantha Moore

Manager, PR
Informatica Corporation
(650) 687-6361
smoore@informatica.com
 
 

INFORMATICA CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
Three months ended
    March 31,
2000 1999
Revenues:
License
 $  16,836
 $   7,347
Service
9,097
3,633
Total revenues
25,933
10,980
Cost of revenues:
License
434
142
Service
4,621
1,876
Total cost of revenues
5,055
2,018
Gross profit
20,878
8,962
Operating expenses:
Research and development 4,088
2,353
Sales and marketing 13,434
6,533
General and administrative 1,953
934
Stock-based compensation 399
         125
Amortization of intangible assets 374
             -
Total operating expenses 20,248
9,945
Income (loss) from operations 630
(983)
Interest income (expense), net 301
(42)
Income (loss) before income taxes 931
(1,025)
Income tax provision (233)
        (150)
Net income (loss)
 $      698
 $  (1,175)
Net income (loss) per share:
Basic
 $     0.02
 $    (0.14)
Diluted
 $     0.02
 $    (0.14)
Shares used to compute net
  income (loss) per share:
Basic 32,822 8,367
Diluted 39,046 8,367
Supplemental Information:
  Net income (loss)
 $      698
 $  (1,175)
  Adjustments:
Stock-based compensation
399
         125
Amortization of intangible assets
374
             -
Net income (loss), as adjusted
 $   1,471
 $  (1,050)
Net income (loss), as adjusted,
  per share - diluted
 $     0.04
 $    (0.13)
Shares used to compute net
  income (loss), as adjusted,
  per share - diluted 39,046 8,367
        
INFORMATICA CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
March 31,
December 31,
2000
1999
ASSETS
Current assets:
Cash and cash equivalents
 $       47,982
 $         57,521
Accounts receivable, net
13,006
8,119
Prepaid expenses and other current assets
1,979
1,272
Total current assets
62,967
66,912
Property and equipment, net
2,630
1,482
Intangible assets, net
8,604
                     -
Other assets
1,345
129
Total assets
 $       75,546
 $         68,523
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable and other current liabilities
 $       18,609
 $         17,301
Deferred revenue
11,811
9,660
Total current liabilities
30,420
26,961
Long-term liabilities
57
              1,438
Stockholders' equity
45,069
40,124
Total liabilities and stockholders' equity
 $       75,546
 $         68,523
 

© 2000 Informatica Corporation Informatica
Informatica, PowerCenter, PowerCenter.e and PowerMart are trademarks or registered trademarks of Informatica Corporation. All other company and product names may be trademarks of their respective owners.