OPNET Announces Results for Fourth Quarter of Fiscal 2007
Revenue of $24.4 million
Dilutive earnings per share of $0.07
BETHESDA, MD – May 16, 2007 -- OPNET Technologies, Inc. (NASDAQ: OPNT), a leading provider of management software for networks and applications, today announced that quarterly revenue for the fourth quarter of fiscal 2007 was $24.4 million, compared to $21.3 million for the same quarter in the prior fiscal year. Earnings per share on a diluted basis for the fourth quarter of fiscal 2007 were $0.07, compared to $0.05 for the same quarter in the prior fiscal year.
Marc A. Cohen, OPNET’s Chairman and CEO, stated, “I am pleased to report strong performance during Q4. We recorded revenue of $24.4 million and increased deferred revenue to a record $23.3 million. Our operating margin decreased sequentially from 11.1% to 5.9% primarily as a result of an increase in sales commission expense driven by record bookings and the impact of calendar Q1 payroll taxes. We ended the quarter with cash, cash equivalents and marketable securities of $91.4 million.”
Financial Highlights for the Fourth Quarter of Fiscal Year 2007- Grew revenue year-over-year 14.5% to $24.4 million from $21.3 million for the same quarter of fiscal 2006. Revenue for the quarter decreased sequentially 0.7% from $24.5 million for the third quarter of fiscal 2007.
- Grew license revenue year-over-year 14.7% to $10.7 million from $9.3 million for the same quarter of fiscal 2006. License revenue for the quarter decreased sequentially 2.5% to $10.7 million from $11 million for the third quarter of fiscal 2007.
- Achieved record deferred revenue of $23.3 million, up sequentially from $20 million in the third quarter of fiscal 2007.
- Gross profit increased year-over-year to $18.7 million from $16.5 million for the same quarter of fiscal 2006. Gross profit decreased sequentially to $18.7 million during the fourth quarter of fiscal 2007 from $19.4 million in the third quarter of fiscal 2007.
- Operating income increased year-over-year to $1.4 million from $793 thousand for the same quarter of fiscal 2006. Operating income decreased sequentially to $1.4 million during the fourth quarter of fiscal 2007 from $2.7 million in the third quarter of fiscal 2007.
Mr. Cohen continued, “The $3.3 million sequential increase in our deferred revenue was largely the result of record quarterly sales of license updates and technical support and the deferral of revenue associated with certain arrangements.”
First Quarter Fiscal Year 2008 Financial OutlookOPNET currently expects fiscal 2008 first quarter revenue to be between $24 million and $26 million, and earnings per share to be between $0.02 and $0.08. These estimates represent management’s current expectations about the Company’s future financial performance, based on information available at this time.
OPNET will hold an investor conference call on Wednesday, May 16, 2007 at 5:00 pm Eastern Time to discuss the overall results of Q4.
To listen to the OPNET investor conference call:
- Dial 877-407-9205 in the U.S. or 201-689-8054 for international callers, or
- Use the webcast at www.opnet.com, or at www.investorcalendar.com (click on OPNT under "VCalls by Date"). Investors are advised to go to the web site at least 15 minutes early to register, download, and install any necessary audio software.
To listen to the archived call:
- Call the replay phone number at 877-660-6853 or 201-689-8055 for international callers. For replay, enter account # 286, conference ID # 239422. The replay will be available from 7:00 pm Eastern Time May 16th through 11:59 pm Eastern Time May 23rd.
- The webcast will be available at www.opnet.com or at www.investorcalendar.com, archived for seven days.
About OPNET Technologies, Inc.
Founded in 1986, OPNET Technologies, Inc. (NASDAQ:OPNT) is a leading provider
of management software for networks and applications. For more information about
OPNET and its products, visit www.opnet.com.
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OPNET and OPNET Technologies, Inc. are trademarks of OPNET Technologies, Inc. All other trademarks are the property of their respective owners.
Statements in this press release that are not purely historical facts may constitute forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. OPNET Technologies, Inc. (“OPNET”) assumes no obligation to update statements. Forward-looking statements are predictions based upon information available to OPNET as of the date of this press release and involve risks and uncertainties; therefore, actual events or results may differ materially. For a discussion of risk factors, see OPNET’s reports, including its most recent 10-Q and 10-K, filed with the Securities & Exchange Commission.
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Note to editors: The word OPNET is spelled with all upper-case letters.
OPNET Media Contact:
Margarita Castillo
OPNET Technologies, Inc.
(240) 497-3000
Media@opnet.com
www.opnet.com
OPNET Investor Relations:
Mel Wesley
OPNET Technologies
(240) 497-3000
ir@opnet.com
www.opnet.com