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Original Source: FD (FAIR DISCLOSURE) WIRE
. Robert Beauchamp, BMC Software, President & CEO . John Cox, BMC Software, CFO
BMC reported EPS of $0.10 per share. Diluted loss per share was $0.06. Total revenues increased 15% year over year to $333.8m. BMC expects 3Q EPS to be in $0.15-$0.20 per share range. 2004 EPS is projected at $0.48-0.53 range. Q&A Focus: Competition, Federal business & Mainframe business.
A. Key Data From Call 1. Revenues: $333.8m. 2. EPS: $0.10 per share.
S1. 2Q04 Earnings - (R.B.) 1. Topline: 1. EPS excluding special items was $0.10 exceeding the $0.04-0.06 guidance range. 2. Diluted loss per share was $0.06. 3. Total revenues for 2Q were $333.8m, up 15% compared to the same quarter last year and up $23.9m or 8% compared to 1Q. 4. The global IT spending environment seems to be stabilizing. Companies are more willing to spend allocated IT dollars. 5. Environment remains competitive. North American business shows most improvement. 6. Latin America exceeded plan for the quarter, did not see sequential improvement in Europe. Germany did show significant improvement relative to 1Q. 7. Asia region fell short of its goal, Japan continues to be disappointing. 2. Highlights: 1. Patrol business had strong quarter with 9% year over year license revenue growth.
2. All major geographies reported year over year patrol license
revenue growth. 3. Patrol for Windows business had strong double-digit growth. 4. Patrol Application Management products had a strong quarter. 5. Patrol for Unix business appeared to have stabilized for the quarter. 6. Distributed systems database products had a strong quarter led by smart DBA suite of products. Licensed revenues grew 7% year over year and 24% compared to 1Q. 7. Mainframe business showed improvement compared to 1Q.
Increased investment in North America inside sales division
and Channel business continued to show results. 8. Channel business represented 24% of license revenues compared to 19% a year ago. 9. Remedy has proven to be a great acquisition. It is outperforming revenue and earnings expectations quarter after
quarter. 10. It grew double digits compared to 1Q and achieved 35% operating margin excluding special items. 11. Feedback received from customers, partners and industry analysts has been positive. 12. Provided special BSM strategy update as part of New York City Customer Forum. 13. Joined by CEOs of Symantec and EMC, plus senior executives of Accenture, Dell and Seibel.
14. Multiple key transactions completed in 2Q where BSM highly
influenced customer decision to purchase BMC solution.
S2. Financials - (J.C.) 1. Revenues: 1. Total revenues were $333.8m. Operating expenses were $320.8m excluding special items. 2. Other income $17.8m. Effective tax rate was 28% and weighted
average share count was 227.9m. 3. 2Q earnings excluding special items was $22.2m or $0.10 on a diluted EPS basis. 4. Loss per share on GAAP basis was $0.06. 2. Details: 1. License revenues were $124.7m, up 4% from last year and up 16% from 1Q. 2. Excluding Remedy, license revenues were $101.6m, down 16% from
last year but up 17% from 1Q. 3. North American license revenues were $59m, up 33% from 1Q to 47% of total revenues. 4. International was $65.7m up 4% from 1Q. 5. Had 18 license transactions over $1m compared to 19 last year and 16 in 1Q. 6. There were two license transactions over $5m and none over $10m. 7. Maintenance …