Press release

 

 

 

 

 

Investor Relations Contact:

Emmanuel Olivier

Esker S.A.

emmanuel.olivier@esker.fr

+33 (0)4 72 83 46 46

http://www.esker.com

 

 

 

Eskerís 2001 financial statements show improved results and positive cash flow

 

Yearís results are in line with companyís forecast published in January 2002

 

 

 

(Million of euros)

 

 

Change

 

2001

2000

Ä

%

Net sales

32.31

27.38

4.93

+18.0%

E.B.I.T

(1.26)

(3.73)

2.47

+66.2%

Interest income

0.29

0.29

-

-

Operating loss

(0.97)

(3.44)

2.47

+71.8%

Exceptional items

(0.77)

(1.07)

0.30

+28.0%

Income taxes

(0.18)

(0.40)

0.22

+55.0%

Amortization of goodwill

(0.27)

(0.24)

(0.03)

(12.5%)

Net result

(2.19)

(5.15)

2.96

+57.5%

 

 

 

All product lines contributed to Eskerís 2001 growth

 

Lyon Ė March 13, 2002. Eskerís sales for 2001 reached Ä32.31 million, an increase of 18% (3.5% at comparable structure) compared to the prior year. Despite the slowdown experienced in technology spending in the fourth quarter of 2001, Esker confirms its ability to grow its business. This performance is primarily due to the growing success of Eskerís new Intelligent Information Deliveryô (IID) product line, which includes the Pulse and fax server products and which grew more than 25% to reach Ä13.35 million in revenues. Eskerís traditional Host Access product line also showed positive signs of resistance to industry-wide decline with a sales decrease of only 7.8%


 

2001 improved greatly despite significant un-recurring expenses

 

Eskerís 2001 pre-tax result improved by nearly 72% compared to the previous year. The 2001 loss amounts to Ä0.97 million, in line with management expectations communicated in January 2002.

 

Exceptional items showing a loss of Ä0.77 million, mainly including:

         an expense of Ä0.28 million to write down treasury stock to market value at year end;

         an expense of Ä0.34 million booked in 2001 to cover the cost of the reorganization of Eskerís U.S. operations. This plan consolidates research and development efforts in two centers of excellence: the Lyon, France, and Madison, Wisconsin, facilities.It also concentrates all administrative and marketing functions in the U.S. Its implementation will save approximately Ä1 million a year and increase Eskerís profitability in the U.S.

 

Positive cash flow demonstrates Eskerís careful management

 

In 2001, Eskerís operating activities show a positive cash flow of nearly Ä1.3 million, to be compared with a decrease in cash of more than Ä2 million in the year 2000. This achievement is due to the strong improvement in the profitability of the companyís operations worldwide and to the careful management of Eskerís business cycles and working capital. Taking into account cash used or provided by investing and financing activities, Eskerís net cash flow for 2001 remained positive at Ä0.54 million. Hence, Eskerís balance sheet shows Ä8.2 million of net cash and cash equivalents (including Ä0.25 for treasury stock) and no long-term debt.

 

2002 outlook

 

Eskerís 2001 revenue trends should continue and be confirmed in 2002. Host Access sales should stabilize near current levels, benefiting from Eskerís strong worldwide position and from profitable channels and partnerships established during 12 years of leadership in this market. Esker will continue to invest heavily in sales and marketing activities for its IID product line, targeting large accounts and developing strategic partnerships. This effort has already yielded positive results in 2001, allowing Esker to sell 100 Pulse servers, generating Ä1.5 million in revenues. In addition, significant partnerships were signed with major players in the IID market space, including France Tťlťcom, Cincom, Mobius, and Indus.

 

In 2002, Esker has set for itself the goal of growing its business by 8 to 12% with pre-tax operating profits ranging from 2 to 4% of sales. The achievement of such a goal, however, involves certain parameters out of the companyís control, such as the state of the economy in the United States and Europe, and its consequence on the worldwide software and technology markets


 

About Esker Software

 


Esker Software solutions enable intelligent access to and delivery of core business information.Organizations use Esker software to streamline information exchange, open new channels of communication, and achieve business objectives with new levels of speed and efficiency.The companyís products include:

         PulseTM, VSI-FAXTM, VSI-FAXfor Notes, and Faxgate for Intelligent Information DeliveryTM

         SmarTerm, TunPlus, and Persona for host access.

Esker is traded on Euronext Ė the French Stock Exchange (Le Nouveau Marchť/Euroclear: 3581).With offices in North America, South America, Europe, and Asia/Pacific, Esker has shipped over 80,000 document servers and has a host-access installed base of two-million licensed users.For more information, visit http://www.esker.com.

Zone de Texte:

Join the Pulse-powered Esker e-mailing list and get real time information about Esker at http://www.esker.com/Q300/investors

 

 

 

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©2002 Esker S.A.All Rights Reserved.Esker, Pulse, VSI-FAX, VSI-FAX for Notes, Faxgate, Intelligent Information Delivery, SmarTerm, Tun, and Persona are trademarks or registered trademarks of Esker S.A.All other trademarks mentioned are the property of their respective owners.