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MYSOFTWARE
ANNOUNCES FOURTH QUARTER RESULTS (PALO
ALTO, CA)--February 12, 1998-- MySoftware (Nasdaq:MYSW) today
announced results for the three-month and audited twelve-month periods
ending December 31, 1997. MySoftware also announced a restructuring
of the Company and the closing of its San Francisco division, reducing
its annual expense rate by more than $2 million. Furthermore,
the Company announced a program to repurchase up to 400,000 shares of
its common stock.
For the three
months ended December 31, 1997, MySoftware's revenues increased 28 percent
to $3.1 million from $2.4 million in the same quarter a year earlier.
The increase in revenues was due primarily to increased sales of its
core products. For the fourth quarter, MySoftware reported a net
loss of $1.6 million, or $.38 per share, compared to a net loss of $1.3
million, or $.30 per share in the fourth quarter a year ago. The
loss in the fourth quarter of 1997 was primarily a result of a corporate
restructuring and the closing of the Company's San Francisco division.
For the twelve
months ended December 31, 1997, revenues decreased four percent to $12.4
million from $12.9 million for the same period a year earlier.
The Company reported a net loss for the twelve months of $4.0 million,
or $.95 cents per share, compared to a net loss of $955,000, or $.23
per share in the same period a year ago. The results for 1996
included a one-time write-off of $255,000 related to purchased technology
acquired in January of 1996.
MySoftware
announced that it has restructured the Company to accelerate its return
to profitability. "We have taken more than two million dollars
of expenses out of our annual expense structure, and we are now focused
on revenue acceleration in our core business," commented Gregory Slayton,
MySoftware's President and Chief Executive Officer. As part of
the restructuring, former CEO Dave Mans and former Executive Vice President
Jim Willenborg have left the Company but continue to serve on MySoftware's
Board of Directors. The Company also announced the consolidation
of its retail and OEM sales forces under Vice President Joe Cortale
and announced the appointment of Bob Faber as Vice President of International
Sales. The Company accrued charges and reserves in the fourth
quarter associated with the restructuring of the Company and the closing
of its San Francisco operations.
"MySoftware
is returning to its core competitive strengths of providing mailing
and marketing products and services to small businesses," Slayton added.
"We will be leveraging our strengths in the small business market and
our tremendous retail distribution capabilities. In addition,
we will accelerate the revenue growth we have seen from our partnerships
and our annuity products, and we will be distributing our products internationally
for the first time."
In addition,
MySoftware announced that its Board of Directors had approved the repurchase
of up to an aggregate of 400,000 shares of its common stock. "Based
on current market prices, we believe that our stock is undervalued and
that the repurchase program is a good investment of our cash," Slayton
added.
As of December
31, 1997, the Company had $5.0 million in cash and cash equivalents.
The Company's stockholders' equity was $4.7 million as of December 31,
1997. MySoftware has no debt.
Company
Profile Forward-looking
Statements
Click here to download financials as an Adobe Acrbat .PDF file
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