Red Brick Posts Increased Q4 '97 Revenues

Red Brick Systems (Los Gatos, CA) reports Q4 '97 revenue of $14.7 million, an 18% percent increase from Q4 '96. A net income of $414,000 compares with a Q4 '97 net income of $2.4 million. For the year, Red Brick reports revenue of $43.3 million and a net loss of $7 million, compared to 1996 revenue of $36 million and a net income of $3.8 million. These results were negatively affected by increased R&D and operating expenses and an increase in the valuation allowance for a deferred tax asset. "While we still have work to do, we made significant progress in 1997," said president and CEO Chris Erickson. During the quarter Red Brick Systems signed new contracts with Bantam Doubleday Dell Publishing Company, Boeing, Jiffy Lube and United HealthCare Services, and signed a reseller agreement with Hewlett-Packard (Palo Alto, CA). Red Brick also signed a partnership agreement with Vodafone, the UK's largest cellular provider, to build the UK's largest data archive system, and announced the final beta release of its Red Brick Warehouse data warehouse software.

<>