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FrontRange’s Quarter Growth Brings Company Closer to Its Lofty Goal ....FrontRange this week reported its sixth consecutive quarter of sequential revenue and profit growth: 22 percent in license revenue, and 30 percent in profit increase. By DAVID R. BUTCHER Assistant Editor, Customer Interaction Solutions FrontRange this week reported a 22 percent license revenue increase and a 30 percent profit increase for the quarter ended April 30, 2005 — its sixth consecutive quarter of sequential revenue and profit growth (FY05). Total revenue for the quarter increased to $21.6 million, an increase of more than 14 percent from the $18.9 million for the three months ended March 31, 2004. The 30 percent increase for the same-compared quarters that FrontRange reported in operating profit counted out to $2.3 million. FrontRange CEO Michael McCloskey, in a company statement, emphasized the particular encouragement of the 22 percent overall growth in license revenue, “where few software companies in our space are managing to grow it all.” The collaborative growth via licensing revenue and profit keeps the company on a consistent track to reaching its highly elevated goal: FrontRange aims to become the leading provider of service management, CRM and communication management software solutions for the growing and distributed enterprise markets. An aggressive product strategy is being executed to achieve this goal, by “building families of solutions for unique market segments within these markets.” The company has focused product development on high-growth markets and is aiming to leverage opportunities within its installed base by selling applications with adjacent functionality on a single platform. In addition to the strong license revenue and profit increase, here are some of the company’s Q4-FY05 business highlights: • Continuation of customer momentum, with the addition of 346 new customers during the period; • Numerous international customer wins for the period, including those in North America, Asia Pacific, South Africa and EMEA; • Continued expansion of internationally geographic operations, including personnel/product localizations/marketing investments in Latin American, Asian and European operations; • An expanded leadership team; • Continued channel momentum, the World Wide Partner Program having added more than 50 new resellers and increasing license revenues from existing partners; and • The launch of FrontRange’s recent ITIL-Compatible ITSM 5.0. Access to the enhanced modular FrontRange ITSM solution was extended with a new version and new editions in added languages, including English, German, Russian and Polish (with French and Chinese available soon). ITSM 5.0.2 is designed to improve the performance of IT and support organizations for new customers as well as offer additional modules to increase functionality for HEAT customers. Updates to ITSM 5.0.2 included dashboard enhancements and licensing module enhancements. Be sure to watch for FrontRange news in the coming months, as we are likely to see a significant addition of new products and new enhancements from the company to the enterprise markets. ----- David Butcher is Assistant Editor of Customer Interaction Solutions. To see more articles by David Butcher, please visit: http://www.tmcnet.com/tmcnet/columnists/columnist.aspx?id=100008&nm=David%20 R.%20Butcher |