Workforce Optimization Feature: NICE Systems Pleased with Q4 2009 Performance
February 26, 2010
By Deepika Mala, TMCnet Contributor
NICE Systems (News - Alert), a global provider of Insight from Interactions solutions and value-added services, powered by advanced analytics of unstructured multimedia content – from VoIP, Web, radio and video communications, recently reported the results for Fourth Quarter 2009 and Full Year. The fourth quarter booking and backlog reaches all time high, with strong performance across all businesses.
The financial highlights for the Fourth Quarter and Full Year Ended December 31, 2009 are as follows:
· Revenues: The revenues in the Fourth quarter 2009 non-GAAP have shown an upward trend. It has reached $162.8 million, up 11.5 percent from $146.1 million in the third quarter 2009 and 0.3 percent down from $163.3 million in the fourth quarter of 2008. Non-GAAP revenues for the year 2009 were $588.6 million, 6.3 percent down from in 2008.
- Gross Profit: The Fourth quarter non-GAAP gross profit has also increased to $102.9 million, or 63.2 percent gross margin, up from $91.8 million, or 62.9 percent in the third quarter 2009 and compared to $106.8 million, or 65.4 percent, in the fourth quarter of 2008. The Non-GAAP gross profit for the year 2009 was $371.1 million, or 63.1 percent gross margin as compared to $409.4 million, or 65.1 percent gross margin in 2008.
Zeevi Bregman, president and CEO at NICE Systems, said he was “pleased.”
During the fourth quarter of 2009, N ICE set new records on many levels – bookings, backlog, non-GAAP operating profit and margins all reached an all-time high.
“Our bookings in the fourth quarter were strong across almost all businesses and regions we operate in, with book-to-bill ratio substantially greater than one. NICE achieved these results by solidifying our market leadership position and further increasing our market share,” Bregman said. “We are also very pleased with the smooth integration of the four acquisitions announced in 2009 and the market traction they are generating. Furthermore, our key growth engines – analytics based business applications, solutions for financial crime prevention and advanced security solutions – all recorded accelerated growth in 2009.“
Other highlights include:
- Operating Income: Fourth quarter non-GAAP operating income increased to $30.7 million, or a record 18.9 percent operating margin, up from $24.9 million, or 17.0 percent in the third quarter 2009 and from $30.1 million, or 18.4 percent, in the fourth quarter of 2008. Non-GAAP operating income for the year 2009 was $103.6 million, or a record of 17.6 percent operating margin on an annual basis, compared to $109.4 million, or 17.4 percent operating margin in 2008.
- Net Income: The Fourth quarter 2009 non-GAAP net income was $28.6 million, up from $24.0 million, in the third quarter 2009 and compared to $30.6 million in the fourth quarter of 2008. Full year 2009 non-GAAP net income was $96. 0 million, or 16.3 percent of revenues, compared to $103.2 million, or 16.4 percent in 2008.
- Earnings Per Fully Diluted Share: Non-GAAP earnings per fully diluted share in the fourth quarter were $0.45, up from $0.38 in the third quarter 2009 and compared to $0.50 in the fourth quarter of 2008. Non-GAAP earnings per fully diluted share for the full year 2009 were $1.54, compared to $1.67 in 2008.
The GAAP financial highlights for the Fourth Quarter and Full Year Ended December 31, 2009 are:
Fourth quarter 2009 revenues have increased to $158.8 million, up 9.8 percent from $144.7 million in the third quarter of 2009. GAAP revenues for the year 2009 were $583.1 million, 6.6 percent down from $62 4. 2 million in 2008.
- Revenues: The gross profit has also increased to $93.7 million, or 9.7 percent, up from $85.4 million, in the third quarter 2009 and compared to $101.7 million, or 7.9 percent down from the fourth quarter of 2008; Gross profit for the year 2009 was $345.9, or 59.3 percent gross margin, compared to $385.4 million, or 61.7 percent gross margin in 2008.
- Operating Income: The operating income has increased to $11.0 million, or 6.9 percent operating margin, up from $4.8 million, or 3.3 percent in the third quarter of 2009 and compared to $15.8 million, or 9.7 percent, in the fourth quarter of 2008.
- Net Income: Fourth quarter 2009 net income has increased to $12.7 million, from $7.8 million in the third quarter 2008, and compared to $18.7 million in the fourth quarter 2008. Net income for the year 2009 increased to $42.8 million, up from $39.1 million in 2008.
- Earnings Per Fully Diluted Share: Earnings per fully diluted share in the fourth quarter were $0.20, compared to $0.12 per share, for the third quarter of 2009 and $0.31 in the fourth quarter 2008. Earnings per share on a fully diluted basis, for the year 2009 increased to $0.68 from $0.64 in 2008.
- Operating Cash Flow and Cash Balance: It was $29.4 million. 2009 operating cash flow was $119.7 million. Total cash and equivalents as of December 31, 2009 were $548.5 million, with no debt.
Bregman continued, “We are confident that these achievements, coupled with our superior technology, products, and excellent team, will drive NICE’s growth in 2010 and beyond.”
In related news, NICE has won $55 million mega security contract from a government agency for its security solutions.
Deepika Mala is a contributing editor for TMCnet. To read more of her articles, please visit her columnist page.
Edited by Michael Dinan
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