Latest Business Intelligence News
South49 Solutions Integrates Angel.com’s Site Builder into NaturalInsight(sm) – A Distributed Workforce Management Application with Dynamic IVR Features
Thousands of NaturalInsight Users Enabled with a Voice Interface to Report Tasks
McLean, Va. (February 15, 2006) –
Angel.com, a leading provider of on-demand call center and Interactive Voice Response (IVR) solutions and a division of MicroStrategy® Incorporated (NASDAQ: MSTR), today announced that South49 Solutions, LLC, a leading edge provider of business services, has entered into a strategic relationship with Angel.com to provide customized voice solutions as part of its dynamic communications offerings. South49 Solutions has already leveraged Angel.com’s Voice Site technology to provide a voice interface within NaturalInsightsm, an innovative workforce management solution.
For companies that manage distributed employees, NaturalInsight enables dynamic reporting and data collection via a toll-free number or webpage interface. Project managers can configure surveys so that field employees can collect and report not just numerical or basic product data, but also relay audio comments from the field with the ability to distribute real-time management alerts, and provide updated information with complete flexibility.
NaturalInsight has proven to be particularly effective for companies in the business of auditing store inventories on behalf of specific manufacturers. In this instance, the application allows field employees to call a toll-free number and follow voice-activated prompts to report specific details such as product placements and marketing displays. In order to offer this functionality, South49 integrated and customized Angel.com’s Site Builder as part of the solution.
“South49 Solutions views the Angel.com Site Builder tool as a critical component in the overall NaturalInsight service,” said Stefan Midford, President, South49 Solutions. “Companies are now saving weeks of data collection and management time for large projects and the real-time reporting allows proactive project management.”
With NaturalInsight, user dashboards track work opportunities, pending assignments and completed work with immediate updates from the voice interface. Any project update information called in from the field is immediately added to the database, allowing users, supervisors, and clients to review details in real time.
“South49 Solutions is a key strategic partner for Angel.com because the NaturalInsight solution leverages the flexibility and dynamic nature of Angel.com’s technology to customize a solution for a specific target market,” said Michael Zirngibl, President and CEO of Angel.com. “We are always looking for partners like South49 to build IVR solutions on top of existing Web applications, and to market these solutions to our existing and potential customer base in order to continually expand the impact and potential of Angel.com.”
About South49 Solutions, LLC
Headquartered in Sterling, Virginia, South49 Solutions specializes in bringing together telephone, database and Web tools offering advanced interactive business services. The company is focused on listening to customers’ needs and providing innovative, cost-effective solutions. With expertise in voice and Web technology, database design, operations and project management, South49 Solutions is able to deliver comprehensive hosted services. For more information visit South 49 online at www.south49.com or call 1-800-581-2141.
About Angel.com
Angel.com is a leading provider of on-demand call center and Interactive Voice Response (IVR) solutions, which enable organizations of all sizes to quickly deploy powerful telephony applications. More than 1,500 customers turn to Angel.com’s patented Voice Site technology to power customer service and marketing phone numbers using intelligent speech recognition that can automate most phone-based interactions. With an innovative Internet-based solution that requires no investment in hardware, software, or human resources, Angel.com balances the need for high quality communications with affordable pay-as-you-go pricing.
About MicroStrategy
Founded in 1989, MicroStrategy is a global leader in business intelligence (BI) technology. MicroStrategy provides integrated reporting, analysis, and monitoring software that helps leading organizations worldwide make better business decisions every day. Companies choose MicroStrategy for its advanced technical capabilities, sophisticated analytics, and superior data and user scalability. More information about MicroStrategy (NASDAQ: MSTR) is available at www.microstrategy.com.
MicroStrategy, Angel.com, Site Builder, Voice Sites are either trademarks or registered trademarks of MicroStrategy Incorporated in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners.
Mike Sweeney
Angel.com
(703) 770-1352
sweeney@angel.com
Source: MicroStrategy
MicroStrategy Announces Certification to Access Open Source Databases
MicroStrategy 8 Offers Access to MySQL and PostgreSQL
McLean, VA., (February 14, 2006) –
MicroStrategy® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, today announced that MicroStrategy 8 now offers access to the most popular open source databases, MySQL and PostgreSQL. The new release of MicroStrategy 8 includes certification for these two leading open source databases as well as continued support for all major databases.
The MicroStrategy 8 SQL engine is designed to create optimized SQL for each distinct database system, taking advantage of each system’s strengths. MicroStrategy’s analytic engine compensates for databases that differ in how they support any of the 200+ analytic functions of MicroStrategy 8 by automatically redirecting unsupported calculations to be accomplished within the MicroStrategy server instead of the database server. This allows MicroStrategy customers to more easily migrate to new databases, like these open source databases, without having to rebuild any of the hundreds or thousands of reports already in production.
These most recent advances to MicroStrategy 8 are the latest in a broad strategy that seeks to support open systems and open source standards wherever they impact business intelligence. Other open source/open system capabilities of MicroStrategy 8 include support for the Mozilla Firefox browser, the Apache/Tomcat web servers, the Linux operating system, and the Pluto portal.
“Our customers drive our technology development, and we continue to provide new functionality and flexibility to support our customers’ diverse business intelligence requirements,” said MicroStrategy COO Sanju Bansal. “The new release of MicroStrategy 8 is designed to offer added options for customers that choose open source relational database systems for their enterprise.”
About MicroStrategy
Founded in 1989, MicroStrategy is a global leader in business intelligence (BI) technology. MicroStrategy provides integrated reporting, analysis, and monitoring software that helps leading organizations worldwide make better business decisions every day. Companies choose MicroStrategy for its advanced technical capabilities, sophisticated analytics, and superior data and user scalability. More information about MicroStrategy (NASDAQ: MSTR) is available at www.microstrategy.com.
MicroStrategy, MicroStrategy Business Intelligence Platform are either trademarks or registered trademarks of MicroStrategy Incorporated in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners.
Wende Cover
MicroStrategy, Incorporated
1-703-770-1646
wcover@microstrategy.com
Source: MicroStrategy
Vestmark Embeds MicroStrategy Technology into Financial Services Solution
MicroStrategy® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, today announced that Vestmark, an enterprise software company providing managed accounts solutions to the financial services industry, has entered into an OEM agreement with MicroStrategy
McLean, Va., (February 09, 2006) –
MicroStrategy® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, today announced that Vestmark, an enterprise software company providing managed accounts solutions to the financial services industry, has entered into an OEM agreement with MicroStrategy. Vestmark has embedded MicroStrategy technology into its Managed Accounts Analyzer solution, enabling clients to report on and analyze sales of their investment products across disparate distribution channels.
Using MicroStrategy, Vestmark’s clients can collect, analyze, and report on their investment product data. Vestmark’s Managed Accounts Analyzer with MicroStrategy enables investment managers to drill into data and analyze it by product, sponsor firm, date, account activity, geographic region, and other key metrics. Vestmark’s clients use this valuable information to monitor the sales of their investment products and to make more informed decisions related to marketing strategies and profitability.
“We chose MicroStrategy over the other solutions because its Web interface is the most advanced thin client Web solution we have seen,” said John Lunny, COO of Vestmark. “Vestmark’s solutions help our clients attract new assets, reduce operational costs, and increase the overall profitability of their managed accounts business. MicroStrategy’s innovative and flexible technology makes them a great partner and provides our clients with the complex analytical capabilities they require.”
“We are excited to be part of Vestmark’s sophisticated Managed Accounts Analyzer solution for the financial industry,” said Shankar Ganapathy, MicroStrategy’s Vice President of Channels. “MicroStrategy’s analytical richness and intuitive Web interface are well-suited to provide Vestmark’s clients with the detailed analysis of granular-level data they require to make knowledgeable decisions about their investment products.”
About Vestmark
Vestmark, Inc. is an enterprise software company providing managed accounts solutions to the financial services industry. The Vestmark management and engineering teams include the founders and key technologists from several highly successful companies spanning the portfolio management, investment analytics, business intelligence, personalization, and content management industries. Through innovative workflow and integration capabilities, Vestmark delivers efficiency, flexibility, and scalability to the front- and back-offices of investment managers, sponsors, and service providers. Vestmark supports a range of managed account products, including traditional separately managed accounts (SMAs), multi-style portfolios (MSPs, MSAs, DMAs, etc.), and unified managed accounts (UMAs). Vestmark solutions enable its clients to attract new assets, reduce operational costs, and increase the overall profitability of their managed accounts business. Founded in 2001, Vestmark, Inc. is headquartered on Route 128 due north of Boston, Mass. For more information, please visit its Web site at www.vestmark.com or send e-mail to info@vestmark.com.
About MicroStrategy
Founded in 1989, MicroStrategy is a global leader in business intelligence (BI) technology. MicroStrategy provides integrated reporting, analysis, and monitoring software that helps leading organizations worldwide make better business decisions every day. Companies choose MicroStrategy for its advanced technical capabilities, sophisticated analytics, and superior data and user scalability. More information about MicroStrategy (NASDAQ: MSTR) is available at www.microstrategy.com.
MicroStrategy, MicroStrategy Business Intelligence Platform are either trademarks or registered trademarks of MicroStrategy Incorporated in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners.
Wende Cover
MicroStrategy, Incorporated
1-703-770-1646
wcover@microstrategy.com
Source: MicroStrategy
Hard Rock International to Utilize MicroStrategy Software for Operational Reporting and Analysis
MicroStrategy® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, today announced that Hard Rock International, one of the most globally recognized music, entertainment, and dining brands, has chosen the MicroStrategy Business Intelligence Platform� for r
McLean, Va., (February 07, 2006) –
MicroStrategy® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, today announced that Hard Rock International, one of the most globally recognized music, entertainment, and dining brands, has chosen the MicroStrategy Business Intelligence Platform(TM) for reporting and analysis of key performance metrics throughout company-owned cafe locations.
MicroStrategy’s software will provide Hard Rock’s management staff with comprehensive, operational information. Hard Rock will use this information in its efforts to increase the profitability of each cafe location and region.
“We selected MicroStrategy because we need a scalable platform with an easy-to-use Web interface that provides a single source for mission-critical reporting and analysis,” said Kelly Maddern, Hard Rock International’s Senior Director of IT. “MicroStrategy allows us to extend valuable insight to users in the cafes and corporate departments through content-rich, user-friendly reports that empower them to make more strategic and proactive decisions. This will allow us to better assess performance and enhance operational efficiencies.”
“With MicroStrategy, Hard Rock can view key performance indicators via the Web,” said MicroStrategy’s COO Sanju Bansal. “Leading companies across the globe are choosing MicroStrategy’s industrial-strength platform to gain visibility into their operations and to help make important revenue-generating decisions.”
About Hard Rock International
With 122 high-energy Hard Rock Cafes and 13 Hard Rock Hotels and Casinos in more than 42 countries, Hard Rock International is one of the world’s most globally-recognized brands. Beginning with an Eric Clapton guitar, Hard Rock owns the world’s greatest collection of music memorabilia, which is displayed at its locations around the globe. Hard Rock is also known for its collectible fashion and music-related merchandise, Hard Rock Live performance venues and an award-winning website. Hard Rock International, Inc. is owned by The Rank Group Plc (RNK.L). For more information on Hard Rock, visit www.hardrock.com.
About MicroStrategy
Founded in 1989, MicroStrategy is a global leader in business intelligence (BI) technology. MicroStrategy provides integrated reporting, analysis, and monitoring software that helps leading organizations worldwide make better business decisions every day. Companies choose MicroStrategy for its advanced technical capabilities, sophisticated analytics, and superior data and user scalability. More information about MicroStrategy (NASDAQ: MSTR) is available at www.microstrategy.com.
MicroStrategy, MicroStrategy Business Intelligence Platform are either trademarks or registered trademarks of MicroStrategy Incorporated in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners.
Wende Cover
MicroStrategy, Incorporated
1-703-770-1646
wcover@microstrategy.com
Source: MicroStrategy
MicroStrategy Announces Fourth Quarter 2005 Financial Results
Full Year 2005 Cash Flow From Operations Up 20% Versus Full Year 2004
MCLEAN, Va., (January 31, 2006) –
MicroStrategy(R) Incorporated (Nasdaq: MSTR), a leading worldwide provider of business intelligence software, today announced financial results for the three-month period ended December 31, 2005 (the fourth quarter of its 2005 fiscal year).
Fourth quarter 2005 revenue was $77.4 million versus $71.6 million in the fourth quarter of 2004, an 8% increase. Product licenses revenue for the fourth quarter of 2005 was $31.3 million versus $34.1 million for the fourth quarter of 2004, an 8% decrease. Product support and other services revenue for the fourth quarter of 2005 was $46.2 million versus $37.5 million for the fourth quarter of 2004, a 23% increase. Fourth quarter 2005 income from operations was $29.6 million, or 38% of revenue, versus $27.2 million, or 38% of revenue, for the fourth quarter of 2004, a 9% increase. Net income for the fourth quarter of 2005 was $18.9 million, or $1.30 per share on a diluted basis.
For the year ended December 31, 2005, revenue was $268.7 million versus $231.2 million for the year ended 2004, a 16% increase. Product licenses revenue for the full year 2005 was $99.9 million versus $97.0 million for the full year 2004, a 3% increase. Product support and other services revenue for the full year 2005 was $168.7 million versus $134.2 million for the full year 2004, a 26% increase. Income from operations for the full year 2005 was $93.9 million, or 35% of revenue, versus $68.5 million, or 30% of revenue, for the full year 2004, a 37% increase. Net income for the full year 2005 was $64.7 million, or $4.19 per share on a diluted basis versus net income for the full year 2004 of $168.3 million, or $9.83 per share on a diluted basis. MicroStrategy’s full year 2004 results included a net non-cash tax benefit of $102.1 million, or $5.96 per share on a diluted basis, related to the release of the Company’s US and Canadian deferred tax asset valuation allowances and the utilization of non-cash US deferred tax assets. Cash flow from operations for the full year 2005 increased 20% to $102.6 million versus $85.5 million for the full year 2004.
“We are pleased with our financial and business accomplishments in 2005. We developed and maintained strong and loyal relationships with our new and existing customers, which helped drive the services growth we experienced during the year. MicroStrategy achieved notable financial and operating efficiencies across all lines of business, with operating margins of 38% during the fourth quarter of 2005 and 35% for the full year,” said Arthur S. Locke, III, MicroStrategy’s Vice President, Finance & Chief Financial Officer. “Net cash generated from operations for the full year 2005 increased 20% to $102.6 million, compared to $85.5 million for the full year 2004. We look forward to 2006.”
New Customers and New Deals with Existing Customers in Q4 2005 included:
21st Century Insurance; Affiliated Computer Services, Inc.; Alticor; Biltmore Technologies, Inc.; BMC West Corporation; Borders Group, Inc.; Cancer Care Ontario; Carl Warren & Co.; Charming Shoppes, Inc.; Cingular Wireless; CommonHealth, LP; Darden Restaurants; Focus Technology Group; Grange Insurance; Grey Global Group; ImpactRx; Limited Brands Inc.; Meredith Corporation; Network Solutions; RONA; Spartan Stores; The University of Texas M.D. Anderson Cancer Center; Verispan; VHA Inc.; Wilbur-Ellis; Wilton Industries, Inc.; and Wyeth Pharmaceuticals.
Examples of Customer Deals from Q4 2005:
21st Century Insurance
21st Century Insurance is a direct-to-consumer provider of personal auto insurance covering over 1.5 million vehicles and with $1.3 billion of premiums in California, Texas, Illinois and six other states. A MicroStrategy customer since 1999, 21st Century is currently leveraging MicroStrategy for a wide range of business intelligence applications across the company. 21st Century employees are using MicroStrategy to report on and analyze data in key business areas including claims, actuarial analysis, underwriting, policies and premiums, call center, enterprise billing and marketing.
Beyond Interactive
Beyond Interactive, a digital advertising arm of Mediacom, a unit of WPP’s GroupM, has selected MicroStrategy to support the reporting and analysis requirements of its clients. Using MicroStrategy, Beyond Interactive provides its clients with valuable insights into the performance of their online advertising campaigns. MicroStrategy enables the business intelligence group at Beyond Interactive to efficiently provide high quality interactive reporting and analytics. Beyond Interactive selected MicroStrategy because of its flexibility, rich analytical functionality, and scalability to support hundreds of advertising campaigns and volumes of data.
Spartan Stores
Grand Rapids, Michigan-based Spartan Stores is the nation’s tenth largest grocery distributor with warehouse facilities in Grand Rapids and Plymouth, Michigan. Spartan Stores uses MicroStrategy for financial reporting for all retail locations as well as the warehouse facilities. Additionally, MicroStrategy is used for sales and inventory performance analysis as well as retail operational process measurement.
Wilbur-Ellis Company
Wilbur-Ellis Company, a leading international marketer and distributor of agricultural and industrial products, is expanding its deployment of MicroStrategy for financial reporting. Wilbur-Ellis has been using MicroStrategy for operational reporting and is now expanding its deployment to include MicroStrategy Report Services(TM) for financial reporting and analysis. With MicroStrategy Report Services, Wilbur-Ellis users will have access to key financial information to provide visibility into their financial operations.
RONA
RONA is the leading Canadian distributor and retailer of hardware, home improvement, and gardening products, with a network of over 570 franchised, affiliated and corporate stores. RONA selected MicroStrategy for multiple BI applications including sales analysis, supply chain management and product analysis. Using MicroStrategy, RONA business users can drill down into volumes of transactional data to make analytically-based decisions that enhance merchandising, streamline inventory management and reduce costs.
Q1 2006 New Release of MicroStrategy 8:
In the first quarter of 2006, MicroStrategy plans to make generally available the next release of MicroStrategy 8. This upcoming release will include access to multidimensional data sources, including Microsoft Analysis Services and Hyperion Essbase, making it easier for customers to standardize on the MicroStrategy platform for enterprise-wide reporting and analysis. MicroStrategy will also extend its support for 64-bit BI platforms by introducing support for HP(R) Integrity servers based on Intel(R) Itanium(R) 2 processors. MicroStrategy 8 is one of the few BI technologies fully compiled in 64-bit mode, providing customers with a highly scalable and efficient architecture for large scale BI deployments.
In the coming weeks, MicroStrategy expects to detail other enhancements in this upcoming release of MicroStrategy 8, including access to the most popular open source databases, MySQL and PostgreSQL, extended ad-hoc reporting capabilities with a graphical query builder interface and the availability of new lower-cost reporting packages.
MicroStrategy Annual User Conference and Symposia:
MicroStrategy held its ninth annual user conference, MicroStrategy World 2006, in Miami, Florida, January 23-26, 2006. The event featured over 100 business and technical sessions, an exhibit hall showcasing more than 25 MicroStrategy partners, live product demonstrations and customer presentations from companies including The Bank of New York, Comcast, Corporate Express, Discovery Education, Herbalife, Intel, Lowe’s Companies, MetLife, PetSmart, US Postal Service and Victoria’s Secret Direct.
Following the success of the MicroStrategy Summer and Fall Symposia in 2005, MicroStrategy is launching its 2006 Symposia schedule, which will include locations in Europe as well as the US. These popular events offer an interactive venue for participants to share ideas with peers and industry experts, learn practical BI strategies from leading companies and talk with MicroStrategy’s top technology leaders. The MicroStrategy Symposia 2006 series begins with the Winter Symposium, February 6-8, 2006, in Barcelona, Spain and is expected to include events later this year in Los Angeles, Paris, New York, London and Chicago.
MicroStrategy hosted its first invitation-only Executive Forum during the Fall Symposium in Las Vegas in October 2005. The event brought together IT executives to share BI insights via roundtable discussions, analyst keynotes and customer best practice presentations. As a result of the positive response from participants, MicroStrategy is planning to conduct Executive Forums at each Symposium and user conference in 2006.
Results of The OLAP Survey 5:
Once again, MicroStrategy was ranked number one in several key areas of The OLAP Survey 5, a leading independent survey of the BI software market. For the second consecutive year, MicroStrategy received the highest customer loyalty score of all business intelligence software products reviewed. MicroStrategy was also the top performer in Web deployment, with the survey finding that MicroStrategy customers are more successful in deploying BI via the Web than are customers of any other leading BI product. In addition, The OLAP Survey 5 found that MicroStrategy customers accessed the largest data volumes by a substantial margin. MicroStrategy has held the top position in Web deployment and data scalability for the past five years, since the inception of the survey. The OLAP Survey 5, the largest and most comprehensive survey of OLAP products to date, is conducted by Nigel Pendse and Survey.com.
To view a summary of The OLAP Survey 5 results, go to: http://www.microstrategy.com/Company/OLAP_Survey5.asp
About MicroStrategy Incorporated
Founded in 1989, MicroStrategy is a global leader in business intelligence (BI) technology. MicroStrategy provides integrated reporting, analysis, and monitoring software that helps leading organizations worldwide make better business decisions every day. Companies choose MicroStrategy for its advanced technical capabilities, sophisticated analytics, and superior data and user scalability. More information about MicroStrategy (Nasdaq: MSTR) is available at http://www.microstrategy.com.
MicroStrategy, MicroStrategy Report Services, MicroStrategy 8 and MicroStrategy Business Intelligence Platform are either trademarks or registered trademarks of MicroStrategy Incorporated in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners.
This press release may include statements that may constitute “forward- looking statements,” including estimates of future business prospects or financial results and statements containing the words “believe,” “estimate,” “project,” “expect” or similar expressions. Forward-looking statements inherently involve risks and uncertainties that could cause actual results of MicroStrategy Incorporated and its subsidiaries (collectively, the “Company”) to differ materially from the forward-looking statements. Factors that could contribute to such differences include: the ability of the Company to implement and achieve widespread customer acceptance of its MicroStrategy 8 software on a timely basis; the Company’s ability to recognize deferred revenue through delivery of products or satisfactory performance of services; continued acceptance of the Company’s products in the marketplace; the timing of significant orders; delays in the Company’s ability to develop or ship new products; market acceptance of new products; competitive factors; general economic conditions; currency fluctuations; and other risks detailed in the Company’s registration statements and periodic reports filed with the Securities and Exchange Commission. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.
MICROSTRATEGY INCORPORATED
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
Three Months Ended Twelve Months Ended
December 31, December 31,
2005 2004 2005 2004
(unaudited)(unaudited)(unaudited)(audited)
Revenues
Product licenses $31,252 $34,100 $99,926 $96,995
Product support and other services 46,177 37,492 168,736 134,213
Total revenues 77,429 71,592 268,662 231,208
Cost of Revenues
Product licenses 824 1,110 3,886 3,875
Product support and other services 8,558 7,365 32,565 28,996
Total cost of revenues 9,382 8,475 36,451 32,871
Gross profit 68,047 63,117 232,211 198,337
Operating Expenses
Sales and marketing 20,001 20,753 70,420 69,924
Research and development 8,372 4,322 31,471 24,915
General and administrative 10,078 10,817 36,382 34,977
Amortization of intangible assets 17 18 71 71
Total operating expenses 38,468 35,910 138,344 129,887
Income from operations 29,579 27,207 93,867 68,450
Financing and Other Income (Expense)
Interest income 894 554 2,974 1,221
Interest expense (50) (9) (94) (53)
Gain (loss) on investments – 4 (127) (83)
Other (expense) income, net (113) (620) 1,550 (215)
Total financing and other income
(expense) 731 (71) 4,303 870
Income before income taxes 30,310 27,136 98,170 69,320
Provision (benefit) for income
taxes 11,460 2,619 33,427 (98,993)
Net income $18,850 $24,517 $64,743 $168,313
Basic earnings per share $1.36 $1.52 $4.38 $10.48
Diluted earnings per share $1.30 $1.43 $4.19 $9.83
Basic weighted average shares
outstanding 13,869 16,103 14,768 16,055
Diluted weighted average shares
outstanding 14,512 17,195 15,436 17,119
MICROSTRATEGY INCORPORATED
CONSOLIDATED BALANCE SHEETS
(in thousands, except per share data)
December 31, December 31,
2005 2004
Assets (unaudited) (audited)
Current assets
Cash and cash equivalents $42,318 $68,314
Restricted cash and investments 5,076 1,210
Short-term investments 53,761 37,816
Accounts receivable, net 43,052 40,917
Prepaid expenses and other current
assets 6,209 6,337
Deferred tax assets, net 22,971 20,583
Total current assets 173,387 175,177
Property and equipment, net 12,031 16,096
Capitalized software development
costs, net 3,669 5,479
Long-term investments – 26,365
Deposits and other assets 2,293 3,021
Deferred tax assets, net 86,393 110,818
Total assets $277,773 $336,956
Liabilities and stockholders’ equity
Current liabilities
Accounts payable and accrued
expenses $18,524 $18,906
Accrued compensation and employee
benefits 27,258 25,292
Accrued restructuring costs 1,026 1,762
Deferred revenue and advance
payments 45,874 43,674
Total current liabilities 92,682 89,634
Deferred revenue and advance
payments 1,554 1,681
Other long-term liabilities 1,961 3,157
Accrued restructuring costs 854 1,906
Total liabilities 97,051 96,378
Stockholders’ equity:
Preferred stock undesignated;
$0.001 par value; 5,000 shares
authorized; no shares issued or
outstanding – –
Class A common stock; $0.001 par
value; 330,000 shares authorized;
13,270 shares issued and 10,595
shares outstanding, and 12,841 shares
issued and 12,773 shares
outstanding, respectively 13 13
Class B common stock; $0.001 par
value; 165,000 shares authorized;
3,258 and 3,394 shares
issued and outstanding, respectively 3 3
Additional paid-in capital 428,062 417,287
Treasury stock, at cost; 2,675 and
68 shares, respectively (136,817) (2,331)
Accumulated other comprehensive
income 2,318 3,206
Accumulated deficit (112,857) (177,600)
Total stockholders’ equity 180,722 240,578
Total liabilities and stockholders’
equity $277,773 $336,956
MICROSTRATEGY INCORPORATED
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
Twelve months ended
December 31,
2005 2004
(unaudited) (audited)
Operating activities:
Net income $64,743 $168,313
Adjustments to reconcile net income
to net cash provided by operating
activities
Depreciation and amortization 8,496 8,323
Bad debt expense 349 290
Loss on investments 127 83
Deferred taxes 27,358 (101,660)
Discount amortization on
investments (490) –
Other, net 19 171
Changes in operating assets and
liabilities:
Accounts receivable (3,681) (8,798)
Prepaid expenses and other
current assets (358) (2,398)
Deposits and other assets 557 (1,034)
Accounts payable and accrued
expenses, compensation and
employee benefits 3,762 11,793
Accrued restructuring costs (1,888) (2,515)
Deferred revenue and advance
payments 4,754 12,200
Other long-term liabilities (1,196) 714
Net cash provided by
operating activities 102,552 85,482
Investing activities:
Proceeds from sales and maturities
of investments 180,335 –
Purchases of investments (169,243) (64,095)
Purchases of property and
equipment, net (1,907) (5,649)
Capitalized software development
costs (926) (4,268)
Increase in restricted cash and
investments (3,937) (379)
Net cash provided by (used
in) investing activities 4,322 (74,391)
Financing activities:
Proceeds from sale of class A
common stock under exercise of
employee stock options and employee
stock purchase plan 5,703 5,759
Purchases of treasury stock (134,487) (2,331)
Net cash (used in) provided
by financing activities (128,784) 3,428
Effect of foreign exchange
rate changes on cash and
cash equivalents (4,086) 1,837
Net (decrease) increase in cash and
cash equivalents from continuing
operations (25,996) 16,356
Net cash received from discontinued
operations – 76
Net (decrease) increase in cash and
cash equivalents (25,996) 16,432
Cash and cash equivalents, beginning
of period 68,314 51,882
Cash and cash equivalents, end of
period $42,318 $68,314
* Note that $2.2 million of the $7.2 million reflected as “Proceeds from
sale of class A common stock under exercise of employee stock options
and employee stock purchase plan” during the third quarter of 2005, has
been reclassified to Deferred taxes in “Adjustments to reconcile net
income to net cash provided by operating activities.”
CONTACT: MicroStrategy Incorporated Investor Relations, +1-703-848-8600, ir@microstrategy.com
SOURCE MicroStrategy Incorporated
Source: MicroStrategy
Rivermine Embeds MicroStrategy Technology into Automated Enterprise Telecom Expense Management Solution
MicroStrategy® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, today announced that Rivermine, a leading provider of automated enterprise telecom expense management solutions, has entered into an OEM agreement with MicroStrategy
McLean, Va., (January 30, 2006) –
MicroStrategy® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, today announced that Rivermine, a leading provider of automated enterprise telecom expense management solutions, has entered into an OEM agreement with MicroStrategy. Rivermine has embedded MicroStrategy technology into its Rivermine® Clarity module, which provides reporting and drill-down analytics of an enterprise’s telecom network expenditures and assets.
Rivermine’s overall solution automates an enterprise’s telecom lifecycle, including procurement, provisioning, inventory management, and invoice processing. By embedding MicroStrategy’s business intelligence technology into the new Rivermine Clarity Reporting and Analytics Module, data gathered through such automation can be leveraged to enable corporations to make better and faster decisions about their voice, data, and wireless networks. Rivermine Clarity enables users to view, track, and analyze telecom spending and related asset information with a wide range of intuitive report styles and formats. The reports and dashboards are fully interactive through simple drag-and-drop features to build and export data.
“We are pleased to work with MicroStrategy and their industry-leading BI technology,” said Mark Logan, CEO for Rivermine. “We have already had customers find hundreds of thousands of dollars worth of additional network cost savings within weeks of implementing the new Rivermine Clarity module.”
“MicroStrategy is delighted to work with Rivermine on this exciting new telecom management solution,” said Shankar Ganapathy, MicroStrategy’s Vice President of Channels. “MicroStrategy’s robust reporting and analysis functionality gives users the ability to drill into their telecom data and make more proactive, analytically-based business decisions.”
About Rivermine
Rivermine is a leading provider of automated enterprise Telecom Expense Management (TEM) solutions. Rivermine’s solution provides mega-million dollar impact to customers by automating the telecom lifecycle including procurement, provisioning, inventory management, and invoice processing. A privately held company, Rivermine caters to billion dollar enterprises and government organizations.
About MicroStrategy
Founded in 1989, MicroStrategy is a global leader in business intelligence (BI) technology. MicroStrategy provides integrated reporting, analysis, and monitoring software that helps leading organizations worldwide make better business decisions every day. Companies choose MicroStrategy for its advanced technical capabilities, sophisticated analytics, and superior data and user scalability. More information about MicroStrategy (NASDAQ: MSTR) is available at www.microstrategy.com.
MicroStrategy, MicroStrategy Business Intelligence Platform are either trademarks or registered trademarks of MicroStrategy Incorporated in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners.
Wende Cover
MicroStrategy, Incorporated
1-703-770-1646
wcover@microstrategy.com
Source: MicroStrategy
MicroStrategy to Announce Fourth Quarter 2005 Financial Results
MicroStrategy® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, announced that it expects to issue a press release on January 31, 2006 to report its financial results for the fourth quarter of 2005. The Company does not hold conference calls following the
McLean, Va., (January 26, 2006) –
MicroStrategy® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, announced that it expects to issue a press release on January 31, 2006 to report its financial results for the fourth quarter of 2005. The Company does not hold conference calls following the release of its quarterly financial results.
About MicroStrategy
Founded in 1989, MicroStrategy is a global leader in business intelligence (BI) technology. MicroStrategy provides integrated reporting, analysis, and monitoring software that helps leading organizations worldwide make better business decisions every day. Companies choose MicroStrategy for its advanced technical capabilities, sophisticated analytics, and superior data and user scalability. More information about MicroStrategy (NASDAQ: MSTR) is available at www.microstrategy.com.
MicroStrategy, MicroStrategy Business Intelligence Platform are either trademarks or registered trademarks of MicroStrategy Incorporated in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners.
Wende Cover
MicroStrategy, Incorporated
1-703-770-1646
wcover@microstrategy.com
Source: MicroStrategy
MicroStrategy Strengthens Position in 64-Bit Business Intelligence
MicroStrategy 8 Certified on HP Integrity Servers Running HP-UX 11i
McLean, VA., (January 26, 2006) –
MicroStrategy® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, today announced that the upcoming release of MicroStrategy 8 will be certified on HP Integrity servers. MicroStrategy continues to strengthen its position in 64-bit business intelligence by supporting HP-UX 11i.
MicroStrategy’s 64-bit BI architecture can support large user populations and high data scalability. The combination of MicroStrategy and HP Integrity servers based on Intel® Itanium® 2 processors delivers powerful capabilities, allowing large scale BI applications to be rapidly deployed and easily maintained.
MicroStrategy 8 is one of the few BI technologies fully compiled in 64-bit mode, enabling businesses to support more BI applications, with more users, and higher performance on fewer servers, enabling delivery of a highly affordable BI solution for enterprise BI standardization.
“MicroStrategy continues to extend its capabilities in 64-bit BI with our certification on HP-UX 11i,” said MicroStrategy COO Sanju Bansal. “MicroStrategy 8 running on HP Integrity servers based on Itanium 2 processors provides our customers with a highly scalable and efficient architecture well-suited for large scale business intelligence deployments.”
“Infrastructure matters more than ever for business intelligence. Our customers demand higher availability, security, scalability, and flexibility,” said Don Jenkins, vice president of marketing, Business Critical Servers, HP. “With MicroStrategy 8 on HP Integrity servers customers can consolidate and scale their business intelligence environments on a platform that was built for BI.”
“MicroStrategy’s upcoming release and HP Integrity servers based on Intel Itanium 2 processors are a powerful combination for enterprise end users,” said Melissa Laird, general manager of the Global Developer Relations Division, Intel Corporation. “By threading the application, MicroStrategy takes full advantage of Intel’s newest Itanium 2 processor in dual and multiprocessing configurations, making it well suited for large-scale business intelligence deployments that require the highest performance, scalability and reliability.”
In addition to HP-UX 11i, MicroStrategy 8 supports other major 64-bit operating systems including Sun Solaris, IBM AIX, and Red Hat Linux. The upcoming release of MicroStrategy 8 is expected to be generally available in the first quarter of 2006.
About MicroStrategy
Founded in 1989, MicroStrategy is a global leader in business intelligence (BI) technology. MicroStrategy provides integrated reporting, analysis, and monitoring software that helps leading organizations worldwide make better business decisions every day. Companies choose MicroStrategy for its advanced technical capabilities, sophisticated analytics, and superior data and user scalability. More information about MicroStrategy (NASDAQ: MSTR) is available at www.microstrategy.com.
This press release may include statements that may constitute “forward-looking statements,” including its estimates of future business prospects, potential new product releases and expected generally availability dates for new product releases and statements containing the words “believe,” “estimate,” “project,” “expect” or similar expressions. Forward-looking statements inherently involve risks that could cause MicroStrategy’s actual results to differ materially from the forward-looking statements. Factors that could contribute to such differences include: the ability of MicroStrategy to implement and achieve widespread customer acceptance of its software on a timely basis; delays in MicroStrategy’s ability to develop or ship new products, including new releases of MicroStrategy 8 software and specific features in any such release; market acceptance of new products; competitive factors; currency fluctuations; and other risks detailed in MicroStrategy’s periodic reports filed with the Securities and Exchange Commission. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.
MicroStrategy, MicroStrategy Business Intelligence Platform are either trademarks or registered trademarks of MicroStrategy Incorporated in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners.
Wende Cover
MicroStrategy, Incorporated
1-703-770-1646
wcover@microstrategy.com
Source: MicroStrategy
MicroStrategy Recognizes U.S. Postal Service Executive with Individual Excellence Award
MicroStrategy® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, today announced that it has selected Robert Otto, CIO/CTO of the U.S. Postal Service, as the recipient of MicroStrategyâ??s Individual Excellence in Business Intelligence award. Mr. Otto was
Miami, FL, (January 25, 2006) –
MicroStrategy® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, today announced that it has selected Robert Otto, CIO/CTO of the U.S. Postal Service, as the recipient of MicroStrategy’s Individual Excellence in Business Intelligence award. Mr. Otto was recognized today at MicroStrategy World 2006 in Miami, Florida.
Each year at its annual user conference, MicroStrategy recognizes one individual that exemplifies outstanding leadership and vision in business intelligence excellence. As CTO, Mr. Otto oversees the Information Technology organization at the Postal Service, consisting of 1,314 employees, including developers, data architects, and end-user support specialists. The Postal Service has a 60-terabyte Teradata data warehouse, one of the largest data warehouses in the world.
MicroStrategy supports business intelligence applications in every major functional group in the Postal Service. There are over 30,000 managers using the data provided by these business intelligence applications. The users include financial and account analysts, service delivery analysts, budget coordinators, retail managers, and local postmasters across the Postal Service. The Postal Service has 4,000 users running 31,000 daily queries, and over 140,000 reports are run every week for 30,000 managers to monitor and analyze financial performance, on-time delivery performance, network efficiency, in-plant operations, and retail outlet performance.
The United States Postal Service uses the Enterprise Data Warehouse to drive increases in revenue, reduce costs, improve operations, detect fraud, and increase efficiencies in mail service. To date, over $350 million in savings/cost avoidance have been realized.
“I am proud to receive this award from MicroStrategy, and I accept it on behalf of the Postal Service’s entire Information Technology team,” said Mr. Otto. “Our hard-working team does an outstanding job of supporting the ever-changing IT requirements of the Postal Service. MicroStrategy has been an integral component of our department since 1997, and its technology has enabled us to make remarkable improvements in areas including operational efficiency, financial performance, transportation logistics, and customer service.”
“Behind an organization’s successful deployment of our software is a leader who has the vision to champion the cause of business intelligence and, as a result, change the way the organization does business,” said MicroStrategy’s COO Sanju Bansal. “Bob Otto, with more than 35 years of experience in information technology, has been instrumental in the deployment of MicroStrategy’s business intelligence platform at the USPS. We congratulate Bob and the entire U.S. Postal Service’s Information Technology team for their exceptional work.”
About U.S. Postal Service
Since 1775, the Postal Service and its predecessor, the Post Office Department, has connected friends, families, neighbors and businesses by mail. It is an independent federal agency that visits more than 144 million homes and businesses every day and is the only service provider delivering to every address in the nation. The Postal Service receives no taxpayer dollars for routine operations, but derives its operating revenues solely from the sale of postage, products and services. With annual revenues of $70 billion, it is the world’s leading provider of mailing and delivery services, offering some of the most affordable postage rates in the world. The U.S. Postal Service delivers more than 46 percent of the world’s mail volume–some 212 billion letters, advertisements, periodicals and packages a year–and serves seven million customers each day at its 37,000 retail locations nationwide.
About MicroStrategy
Founded in 1989, MicroStrategy is a global leader in business intelligence (BI) technology. MicroStrategy provides integrated reporting, analysis, and monitoring software that helps leading organizations worldwide make better business decisions every day. Companies choose MicroStrategy for its advanced technical capabilities, sophisticated analytics, and superior data and user scalability. More information about MicroStrategy (NASDAQ: MSTR) is available at www.microstrategy.com.
MicroStrategy, MicroStrategy Business Intelligence Platform are either trademarks or registered trademarks of MicroStrategy Incorporated in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners.
Wende Cover
MicroStrategy, Incorporated
1-703-770-1646
wcover@microstrategy.com
Source: MicroStrategy
MicroStrategy Recognizes Five Companies for Excellence in Enterprise-Class Business Intelligence
Verispan, Watkins Motor Lines, American Express, KeySpan, and NBC Universal Honored at MicroStrategy World 2006 User Conference
Miami, FL, (January 25, 2006) –
MicroStrategy® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, today recognized five companies for achieving outstanding business performance with their MicroStrategy-based business intelligence applications. The “Best Practices in Business Intelligence” award winners for 2006 are Verispan, Watkins Motor Lines, American Express, KeySpan and NBC Universal. By deploying MicroStrategy business intelligence (BI) applications, these companies are sharing information across their enterprises to enhance corporate performance, improve efficiency and productivity, increase revenues, and strengthen customer relationships. The awards were announced at the company’s annual user conference, MicroStrategy World 2006, in Miami, FL.
The award categories and the winners are:
Data Scalability: Verispan
User Scalability: Watkins Motor Lines
Extranet Deployment: American Express
Enterprise Deployment: KeySpan
Innovative BI Integration: NBC Universal
“We are pleased to recognize each of these leading organizations for demonstrating best practices in their MicroStrategy business intelligence deployments,” said MicroStrategy COO Sanju Bansal. “We applaud them for their exceptional use of business intelligence to streamline and enhance their business performance.”
Following is a brief description of this year’s winners:
Verispan : A MicroStrategy customer since 1998, Verispan is the winner in the Data Scalability category. Verispan and its clients are using MicroStrategy to analyze nearly 10 terabytes of prescription claims, medical claims, hospital claims and client data stored in a 120-terabyte Oracle 9i® data warehouse. Dozens of data sources feed an enterprise data warehouse that currently supports 30 MicroStrategy applications. Approximately 1,650 client users, including pharmaceutical companies and government agencies as well as Verispan employees, run nearly 5,000 ad-hoc reports each month to analyze and report on granular patient-centric data, secondary audits, primary research, strategic studies, and customer profiles. Verispan, a healthcare informatics joint venture of Quintiles Transnational Corp. and McKesson Corp., provides a broad array of information products and services to the healthcare industry, including sales targeting and compensation products; market research audits; healthcare profiles; comprehensive managed care offerings; primary market research; opinion leader mapping; data integration, warehousing and mining; data analysis and consulting; direct mail; list services; disease management studies; clinical trial investigator targeting and protocol recruitment evaluation; healthcare outcomes; and cost/benefit analyses, among many others. Verispan is also the nation’s leading provider of patient-centric longitudinal data, with dozens of products used by clients spanning the industry.
Watkins Motor Lines, Inc. : Watkins Motor Lines is the winner in the User Scalability category. A leading transportation company, Watkins provides its customers with immediate, real-time information about freight movement, delivery times and shipment status via its personalized and secure extranet website, myWatkins.com. MicroStrategy powers the Customer Web Reporting application, which continues to grow and support over 20,000 Watkins customers and 250 internal account executives. End users receive custom shipment schedules and real-time freight shipment reports on an hourly/daily basis from data in an IBM® UDB DB2 database. This application relies on MicroStrategy Narrowcast Server(TM) to deliver critical reports to Watkins’ customers. The application produces over 40,000 on-demand scheduled e-mails and faxes each month. With annual revenues of $1 billion, Watkins Motor Lines is one of the nation’s largest privately held, less-than-truckload carriers. It currently has 139 locations in 42 states and the commonwealth of Puerto Rico, and employs more than 10,000 employees and contractors.
American Express : American Express Business Travel is the winner in the Extranet Deployment category for its TrackPoint Global Traveler location solution. Designed to address the safety concerns of business travelers, TrackPoint helps companies protect the well-being of their most important asset — employees — by speeding their ability to locate traveling employees worldwide. During a crisis, such as acts of terrorism or severe weather incidences, travel managers, risk managers or security personnel deploy TrackPoint to quickly access traveler trip itineraries, and thereby identify employees in harm’s way and make critical decisions about their needs. A key feature of TrackPoint is its web-based graphical user interface, powered by MicroStrategy, which, beginning with a map of the world, allows users to point-and-click through country, state/province, and city layers until they isolate the itineraries of impacted travelers. TrackPoint was recently rolled out to American Express Business Travelers in North America and Europe. American Express operates one of the world’s largest travel agency networks with over 2200 travel service locations across 140 countries and territories.
KeySpan : A customer since 1998, KeySpan is the winner in the Enterprise Deployment category and has adopted MicroStrategy as its enterprise BI standard. KeySpan has more than 2,000 users including marketing analysts, financial analysts and gas marketers accessing 36 MicroStrategy-based applications that run against a 1.5-terabyte Oracle 9i® data warehouse. The data warehouse has grown by approximately 50 percent each year since 2001, and the user community has grown 20 percent each year since 2001. MicroStrategy provides the single reporting and analysis platform at KeySpan, enabling users across the enterprise to access their data. The KeySpan user community runs approximately 40,000 reports per month. As a result of adopting MicroStrategy as its enterprise BI standard, KeySpan has integrated the majority of its major applications into the data warehouse, including a mission critical gas control supply application. A member of the Standard & Poor’s 500 Index, KeySpan Corporation is the fifth largest distributor of natural gas in the United States and the largest in the Northeast, operating regulated gas utilities in New York, Massachusetts, and New Hampshire that serve 2.6 million customers.
NBC Universal : A customer since 2001, NBC Universal is the winner in the Innovative BI Integration category for deploying MicroStrategy and Geac, yielding significant process improvements and enterprise-wide value. California-based Universal Studios Hollywood theme park business, owned by NBC Universal, replaced a challenging spreadsheet-based system with a MicroStrategy/Geac solution that provides visibility into the theme park’s central budgeting, financial reporting and consolidation mechanism. Using MicroStrategy, line managers can quickly make changes in attendance or park hour assumptions, and provide senior management with new performance targets in minutes as opposed to days or weeks. These daily budgets are then seamlessly loaded to a data warehouse so that operators and line managers can run self-service reports using MicroStrategy to make decisions that optimize revenues and contain costs. The Geac MPC-based financial application analyzes information from one source (SAP® R/3), and MicroStrategy reports on and analyzes operational and transactional data from 10 source systems that feed SAP. Since going live, both technologies have enabled managers to make quick operational decisions resulting in significant increases in customer spend and attendance rates. It is estimated that millions of dollars in additional revenue have been generated as a result of increased attendance. The MicroStrategy/Geac solution has also fundamentally changed the finance, budgeting, reporting and financial closing processes, and cut budget processing time by over 50 percent. NBC Universal is one of the world’s leading media and entertainment companies in the development, production, and marketing of entertainment, news, and information to a global audience.
About MicroStrategy
Founded in 1989, MicroStrategy is a global leader in business intelligence (BI) technology. MicroStrategy provides integrated reporting, analysis, and monitoring software that helps leading organizations worldwide make better business decisions every day. Companies choose MicroStrategy for its advanced technical capabilities, sophisticated analytics, and superior data and user scalability. More information about MicroStrategy (NASDAQ: MSTR) is available at www.microstrategy.com.
MicroStrategy, MicroStrategy Business Intelligence Platform are either trademarks or registered trademarks of MicroStrategy Incorporated in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners.
Wende Cover
MicroStrategy, Incorporated
1-703-770-1646
wcover@microstrategy.com
Source: MicroStrategy