x |
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
¨ |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
| Delaware |
77-0397905 | |
| (State of incorporation) |
(IRS Employer Identification
Number) |
| Page No. | ||||
| Part I. |
Financial Information |
|||
| Item 1. |
Financial Statements (unaudited) |
|||
| 3 | ||||
| 4 | ||||
| 5 | ||||
| 6 | ||||
| Item 2. |
12 | |||
| Item 3. |
34 | |||
| Part II. |
Other Information |
|||
| Item 1. |
35 | |||
| Item 2. |
35 | |||
| Item 3. |
35 | |||
| Item 4. |
35 | |||
| Item 5. |
36 | |||
| Item 6. |
36 | |||
| 37 | ||||
| 38 | ||||
| July 31, 2002
|
April 30, 2002(1) |
|||||||
| ASSETS |
||||||||
| Current assets: |
||||||||
| Cash and cash equivalents |
$ |
121,782 |
|
$ |
123,374 |
| ||
| Short-term investments |
|
151,952 |
|
|
162,175 |
| ||
| Accounts receivable, net of allowance for doubtful accounts of $997 and $1,112 as of July 31, 2002 and April 30, 2002,
respectively |
|
7,693 |
|
|
6,538 |
| ||
| Other current assets |
|
6,792 |
|
|
8,052 |
| ||
| |
|
|
|
|
| |||
| Total current assets |
|
288,219 |
|
|
300,139 |
| ||
| Property and equipment, net |
|
11,105 |
|
|
10,887 |
| ||
| Other assets |
|
5,825 |
|
|
8,038 |
| ||
| |
|
|
|
|
| |||
| $ |
305,149 |
|
$ |
319,064 |
| |||
| |
|
|
|
|
| |||
| LIABILITIES AND STOCKHOLDERS EQUITY |
||||||||
| Current liabilities: |
||||||||
| Accounts payable |
$ |
3,897 |
|
$ |
5,113 |
| ||
| Accrued expenses and other liabilities |
|
13,249 |
|
|
14,120 |
| ||
| Deferred revenue |
|
12,836 |
|
|
13,200 |
| ||
| |
|
|
|
|
| |||
| Total current liabilities |
|
29,982 |
|
|
32,433 |
| ||
| Stockholders equity: |
||||||||
| Common Stock |
|
48 |
|
|
48 |
| ||
| Additional paid-in capital |
|
512,030 |
|
|
512,349 |
| ||
| Notes receivable from stockholders |
|
(242 |
) |
|
(249 |
) | ||
| Unearned stock compensation |
|
(3,060 |
) |
|
(4,004 |
) | ||
| Accumulated other comprehensive income |
|
344 |
|
|
92 |
| ||
| Accumulated deficit |
|
(233,953 |
) |
|
(221,605 |
) | ||
| |
|
|
|
|
| |||
| Total stockholders equity |
|
275,167 |
|
|
286,631 |
| ||
| |
|
|
|
|
| |||
| $ |
305,149 |
|
$ |
319,064 |
| |||
| |
|
|
|
|
| |||
(1) |
The April 30, 2002 consolidated balance sheet information has been derived from the audited financial statements at that date. |
| Three Months Ended July
31, |
||||||||
| 2002 |
2001 |
|||||||
| Revenues: |
||||||||
| License |
$ |
6,855 |
|
$ |
16,007 |
| ||
| Professional services and maintenance |
|
9,169 |
|
|
7,318 |
| ||
| |
|
|
|
|
| |||
| Total revenues |
|
16,024 |
|
|
23,325 |
| ||
| |
|
|
|
|
| |||
| Cost of revenues: |
||||||||
| License |
|
651 |
|
|
962 |
| ||
| Professional services and maintenance |
|
4,662 |
|
|
3,705 |
| ||
| Stock compensation |
|
24 |
|
|
27 |
| ||
| |
|
|
|
|
| |||
| Total cost of revenues |
|
5,337 |
|
|
4,694 |
| ||
| |
|
|
|
|
| |||
| Gross profit |
|
10,687 |
|
|
18,631 |
| ||
| |
|
|
|
|
| |||
| Operating expenses: |
||||||||
| Sales and marketing: |
||||||||
| Other sales and marketing |
|
11,673 |
|
|
15,068 |
| ||
| Stock compensation |
|
455 |
|
|
435 |
| ||
| Research and development: |
||||||||
| Other research and development |
|
8,065 |
|
|
8,348 |
| ||
| Stock compensation |
|
105 |
|
|
138 |
| ||
| General and administrative: |
||||||||
| Other general and administrative |
|
1,637 |
|
|
2,200 |
| ||
| Stock compensation (recovery) |
|
(41 |
) |
|
(186 |
) | ||
| Amortization of goodwill and other intangible assets |
|
|
|
|
189 |
| ||
| Merger related benefit |
|
|
|
|
(835 |
) | ||
| |
|
|
|
|
| |||
| Total operating expenses |
|
21,894 |
|
|
25,357 |
| ||
| |
|
|
|
|
| |||
| Loss from operations |
|
(11,207 |
) |
|
(6,726 |
) | ||
| Interest and other income, net |
|
1,515 |
|
|
3,259 |
| ||
| Impairment of equity investments |
|
(2,560 |
) |
|
(1,446 |
) | ||
| |
|
|
|
|
| |||
| Loss before income taxes |
|
(12,252 |
) |
|
(4,913 |
) | ||
| Provision for income taxes |
|
96 |
|
|
107 |
| ||
| |
|
|
|
|
| |||
| Net loss |
$ |
(12,348 |
) |
$ |
(5,020 |
) | ||
| |
|
|
|
|
| |||
| Net loss per share: |
||||||||
| Basic and diluted |
$ |
(0.26 |
) |
$ |
(0.11 |
) | ||
| |
|
|
|
|
| |||
| Weighted average shares |
|
48,176 |
|
|
46,790 |
| ||
| |
|
|
|
|
| |||
| Three Months Ended July 31, |
||||||||
| 2002 |
2001 |
|||||||
| Cash flows from operating activities: |
||||||||
| Net loss |
$ |
(12,348 |
) |
$ |
(5,020 |
) | ||
| Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
||||||||
| Provision for doubtful accounts |
|
|
|
|
349 |
| ||
| Depreciation and amortization |
|
2,161 |
|
|
2,322 |
| ||
| Amortization of stock compensation |
|
543 |
|
|
414 |
| ||
| Impairment of equity investments |
|
2,560 |
|
|
1,446 |
| ||
| Changes in operating assets and liabilities: |
||||||||
| Accounts receivable, net |
|
(1,155 |
) |
|
6,372 |
| ||
| Other assets, current and non-current |
|
913 |
|
|
(2,182 |
) | ||
| Accounts payable |
|
(1,216 |
) |
|
(4,696 |
) | ||
| Accrued expenses and other liabilities |
|
(871 |
) |
|
(486 |
) | ||
| Deferred revenue |
|
(364 |
) |
|
(5,023 |
) | ||
| |
|
|
|
|
| |||
| Net cash used in operating activities |
|
(9,777 |
) |
|
(6,504 |
) | ||
| |
|
|
|
|
| |||
| Cash flows from investing activities: |
||||||||
| Purchases of investments |
|
(50,010 |
) |
|
(124,679 |
) | ||
| Proceeds from maturities and sales of investments |
|
60,485 |
|
|
82,605 |
| ||
| Purchases of privately-held investments |
|
|
|
|
(150 |
) | ||
| Acquisition of property and equipment |
|
(2,379 |
) |
|
(3,657 |
) | ||
| |
|
|
|
|
| |||
| Net cash provided by (used in) investing activities |
|
8,096 |
|
|
(45,881 |
) | ||
| |
|
|
|
|
| |||
| Cash flows from financing activities: |
||||||||
| Repayment of capital lease obligations |
|
|
|
|
(350 |
) | ||
| Proceeds from issuance of common stock, net of repurchases |
|
82 |
|
|
1,218 |
| ||
| Repayment of notes receivable from stockholders |
|
7 |
|
|
58 |
| ||
| |
|
|
|
|
| |||
| Net cash provided by financing activities |
|
89 |
|
|
926 |
| ||
| |
|
|
|
|
| |||
| Net decrease in cash and cash equivalents |
|
(1,592 |
) |
|
(51,459 |
) | ||
| Cash and cash equivalents at beginning of period |
|
123,374 |
|
|
139,917 |
| ||
| |
|
|
|
|
| |||
| Cash and cash equivalents at end of period |
$ |
121,782 |
|
$ |
88,458 |
| ||
| |
|
|
|
|
| |||
| Non-cash investing and financing activities: |
||||||||
| Reductions in unearned stock compensation |
$ |
(401 |
) |
$ |
(1,550 |
) | ||
| |
|
|
|
|
| |||