Market appears to have liked Technology One's results from yesterday! Currently up 5%.
2002 Financial Results
Document date: Mon 02 Sep 2002 Published: Mon 02 Sep 2002 09:43:52 Document No: 148226 Document part: A Market Flag: N Classification: Periodic Reports - Other TECHNOLOGY ONE LIMITED 2002-09-02 ASX-SIGNAL-G
HOMEX - Brisbane
+++++++++++++++++++++++++ Leading Australian software developer, Technology One Limited, today announced the Company's financial results for the period ended 30 th June 2002.
HIGHLIGHTS OF THE ANNOUNCEMENT ARE AS FOLLOWS:
# EBITDA* of $13.4 million, up 20 percent
# Revenue of $ 46.37 million, up 20 percent
# R&D Expenditure (fully expensed) of $8.14 million, representing 17% of Revenue
# Net Profit After Tax of $8.76 million, up 13 percent
# Earnings Per Share of 2.76 cents, up 11 percent
# Dividend Per Share of 2.00 cents, up 41 percent
*Earnings before interest, tax, depreciation and amortisation
The Company's Chief Executive Officer, Mr Adrian Di Marco, said "On behalf of the directors and management of Technology One Limited, I am pleased to announce the financial results for the year ended 30 June 2002, showing our 7 th consecutive year of record revenues and profits. This is an outstanding achievement, given the continuing difficult market conditions for the IT industry, which has seen many of our competitors report dramatically reduced revenues and earnings.
RESULTS SUMMARY
ACTUAL 2002 VS ACTUAL 2001 ACTUAL ACTUAL VARIANCE INCREASE 2001 2002 $(000) % $(000) $(000)
Mr Di Marco said "Our 2002 results demonstrate Technology One continues to grow strongly and profitably. Our new client licence revenue grew by 24% this financial year".
NEW CLIENTS INCLUDED:
RETAIL
# Godfrey's # Rabbit Photo # The Good Guys
INTERNATIONAL
# Northern Utility Resources Malaysia # Universal Trustee (Malaysia) Bhd # Dorchester Pacific Limited NZ # Metro Water Limited NZ # Wakefield Hospital NZ # Wanganui District Council NZ # Wanganui Gas Limited NZ
LOCAL GOVERNMENT
# City of Charles Sturt # City of Cockburn # City of Greater Bendigo # Great Lakes Council # Local Government Association of Queensland # Mackay City Council # Moyne Shire Council # Sutherland Shire Council # Tamworth City Council # Wagga Wagga City Council
CORPORATE
# Baptist Community Services # Budget Rent A Car Australia # Data Action Pty Ltd # Dermody Petroleum Pty Ltd # Freemasons Hospital # The Gribbles Group Pty Ltd # Lumley Technology # Madec Australia # Peter W Beck Pty Ltd # Piedimonte Stanley Hall Pty Ltd # Uniting Church # University of New England # Villa World Limited # Willmott Forests Limited # WorkPac Pty Ltd
STATE/FEDERAL GOVERNMENT
# Australian Radiation Protection and Nuclear Safety Authority (ARPANSA) # Building Services Authority # Indigenous Land Corporation # Lower Murray Region Water Authority # Queensland Performing Arts Trust # Royal District Nursing Service SA # State Records of South Australia # Tasmanian Department of Justice and Industrial Relations # Tasmanian Electronic Commerce Centre # WA Department of Training and Employment and WA Tafe
PROJECT SERVICES
# Strategic relationship with Publishing and Broadcasting Limited (PBL) for customised software development # Access Queensland # NSW Police Service Informants Management System and Missing Persons System # Stage 2 Victorian Land Titles # Archives One for the State Records of SA # Raine and Horne # Country Energy
Technology One has continued to invest strongly in its future, with a continuation of our aggressive R&D program, now running at 17% of revenue. Given that all our R&D is fully expensed, and is almost equal to our Net Profit After Tax, this is a significant commitment we are making in our future.
The Company's balance sheet remains strong, with total assets of $51 million and net assets of $36.64million.
The Company also announced a final dividend of 1.00 cents per share, taking the total dividend for the year to 2.00 cents per share, an increase of 41% over the previous year.
Our continuing strong performance is a direct result of our unique, highly integrated and focused strategy, based on being both a software product developer and a software services company. The strong management disciplines we apply to our business have allowed us to profitably convert opportunities into real wealth for our shareholders.
SIGNIFICANT EVENTS
There have been many significant achievements this year. Highlights included:
# The opening of a new Canberra office, to complete our national network.
# The Finance One suite continued to perform strongly, adding 42 new major corporate and government clients.
# Proclaim One continued to perform strongly, adding eight new major councils, including our first council in New Zealand.
# Student One consolidated its position in higher education.
# Project Services continued to gain traction in the NSW market, with the signing of a number of large software development projects, including the publicly listed PBL group.
# We continued to invest in our international operations in New Zealand and Malaysia, with further significant contracts signed in each region.
# Approximately 100 new staff members were recruited to meet the increasing demands for our products and services.
RESEARCH AND DEVELOPMENT (R&D)
Today, Technology One has arguably one of the largest software IP (intellectual property) portfolios ever developed in Australia, through our extensive range of application solutions:
# Finance One - Financial management and accounting # Retail One - Retail # Sales One - Wholesale and distribution # People One - Human Resources and Payroll # Proclaim One - Local Government # Student One - Student Administration for Universities
This IP portfolio, coupled with our unique business model, allows us to clearly differentiate ourselves from the majority of IT companies in the industry.
As part of our R&D program, we are continuing to improve our existing products, as well as investigating new product opportunities. We are also investing heavily to ensure that our products stay at the leading edge of technology, and do not become obsolete.
One of the most significant undertakings by the Company in many years is our R&D program into a new generation Internet Architecture for our products, based on the concept of smart clients. The Company is working closely with Microsoft and its .NET platform. Early results are very exciting, paving the way to develop an advanced new generation of Internet Applications that combine the benefits of the Internet with an advanced graphical user interface. Our new Internet Applications will go far beyond the current limitations of HTML based solutions.
ABOUT TECHNOLOGY ONE
Technology One is one of Australia's largest publicly listed software companies. Its focus is the design, development, implementation and support of powerful, enterprise wide software applications using Client Server, Internet and eBusiness technologies for the corporate and government sectors.
In particular, Technology One delivers totally integrated, powerful enterprise solutions developed to meet the specific requirements of vertical markets, including:
# Financial Management and Accounting (Finance One) # Retail (Retail One) # Wholesale and Distribution (Sales One) # Human Resource Management (People One) # Local Government (Proclaim One) # Higher Education and Universities (Student One)
Technology One also provides large scale, fixed time, fixed price custom software development services through its Project Services Group to meet the exact requirements of a specific customer, using Internet, eBusiness and Client Server technologies.
Technology One has achieved compound profit growth of approximately 40 percent per annum since 1992.
Technology One employs approximately 300 staff in Australia, New Zealand and Malaysia. For further information, visit the Technology One website www.TechnologyOneCorp.com
Further information: Adrian Di Marco, CEO, Technology One Ph: (07) 3377 7300 Mobile: 0411 221 764 [email protected]
TNE Price at posting:
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