Fiscal figures: DCTM, FILE, GNTI, INPT, INSO, IACPC
Documentum (Nasdaq: DCTM) reports flat Q2'99 revenues, with a net loss of $2.7 million compared with a Q2'98 income of $3.2 million. The company continues to shift its strategy from document management to a content management platform, as evidenced by the release of its new 4i product. Big investments in R&D, doubled G&A expenses and a 15% dip in software licenses offset a 32% year-to-year growth in services revenues.
FileNet (Nasdaq: FILE) announces record Q2'99 revenues of $86.1 million, up marginally from the same quarter last year. Net income slid slightly, from $3.9 million to $4.6 million in Q2'98. During the quarter FileNet signed the biggest deal in its history, an $8.7 million order from Farmers Insurance Group. During the quarter the company launched the newest version of its Panagon software suite of document management technologies. While confident about the long-term outlook for the market, FileNet president and CEO Lee Roberts says the company is "being cautious" regarding general market uncertainty amid Y2K concerns.
Gentia Software (Nasdaq: GNTI), maker of predictive intelligence software, reveals Q2'99 revenues of $6.0 million, equal to Q1'99 revenues and down 22% from Q2 '99. A net loss of $6.3 million, which includes one-time charges of $3.1 million ($1.4M for restructuring, $1.7M allowance for doubtful accounts) is nearly double the $3.7 million loss in Q1'99. With no more restructuring planned, the company expects to return to profitability in the second half of this year. During the quarter Gentia and Bell Atlantic released TrafficOptimizer, a network analysis tool, and Version 2.0 of its K.Wiz Version data compression technology.
Input Software (Nasdaq: INPT) announced record revenues of $5.9 million in Q2'99, up 11% from the previous quarter and up 41% from the same quarter a year ago. A net income of $185,000 is up 46% from Q1'99, and even with Q2'98 figures. System expansions and upgrades accounted for nearly 60% of license revenue. During the quarter Input added 22 customers to its base, including American Skandia, Los Angeles Unified School District, NationsBank and Proctor & Gamble. Input also shipped Version 2.2 of its InputAccel and InputAccelEZ information capture software solutions. Despite the record revenues, Y2K continues to lengthen software sales cycles, according to Kimra Hawley, leading the company to adopt "a more conservative approach in revenue outlook for the second half of the year."
Document commerce software provider IA Corporation (Nasdaq: IACPC) reports Q2'99 revenue of $4.8 million, up 55% from Q2'98, and an operating loss of $200,000, compared with a loss of $5.0 million a year ago. Company president/CEO Kevin Moran expressed delight in the near-return to black, which occurred despite "significant change for IA as well as increased attention to Y2K in our primary vertical of financial services."
Inso (Nasdaq: INSO) has announced it will reduce staff levels by 20% and shut down sales and administrative facilities as part of a $6.8 million restructuring plan originally unveiled in April. The restructuring includes a $2.3 million charge for writing off costs related to R&D and discontinued products, and a $2.7 million non-cash charge devaluing of Inso's investment in Information Please LLC. The annual cost benefit of the restructuring is projected at $17 million.