SAN MATEO, Calif. - July 18, 2002 - Virage, Inc. (NASDAQ: VRGE), a leading provider of video and rich media communication software, today reported operating results for its first fiscal quarter ended June 30, 2002.
Total revenues for the Company's first fiscal quarter were $3.2 million, which was approximately equal to total revenues in the prior quarter ended March 31, 2002. Pro forma gross profit increased to 59 percent of total revenues during the first quarter, compared to 47 percent of total revenues in the prior quarter. Pro forma net loss was $5.1 million for the first quarter, or $0.25 per share, consistent with $5.1 million, or $0.25 per share, in the prior quarter. Including non-cash, stock-based charges in accordance with generally accepted accounting principles (GAAP), net loss was $5.5 million, or $0.27 per share, for the first quarter in comparison to a net loss of $9.0 million, or $0.44 per share, in the prior quarter.
"While we continued to see a depressed IT spending environment, we made good progress in our core software business," said Paul G. Lego, chairman and CEO of Virage. "We're starting to see market traction with our new solutions, which accounted for about 25 percent of our license revenues this past quarter. These new products also resulted in a somewhat larger average deal size this past quarter. We are gaining momentum with our new solutions, and we believe that they will form the basis for driving future revenue growth. At the end of this past quarter, we also took significant steps to reduce our operating costs, leaving Virage better positioned to weather a difficult business environment."
Cash and short-term investments totaled $25.5 million as of June 30, 2002 versus $30.7 million as of March 31, 2002. Accounts receivable totaled $1.9 million, representing 53 days sales outstanding. The company had no debt as of June 30, 2002.
New and Repeat Customers
During the first fiscal quarter, Virage added 15 new customers worldwide. In the U.S., first-time customers included Case Western Reserve University, Florida Department of Education, Merck & Co., New York University, and UBS Warburg. New international customers in the first quarter included BMW in Germany, China Central Television (CCTV), Etelvaz in Egypt, Korean Broadcasting System (KBS), and York University in Canada. Virage also generated significant repeat business from existing customers including Coherent, Stanford University, University of Michigan, and University of North Carolina. Additionally, in the first quarter, Virage received several follow-on orders from a classified U.S. government customer.
Other First Quarter Highlights
At the National Association of Broadcasters convention in April, Virage introduced VS Production™, an integrated software solution for professional video production. Virage also announced that Digital Ranch, an Emmy Award-winning production company, had successfully deployed VS Production.
Cisco's Internet Learning Solutions Group (ILSG) selected VS Webcasting™ for its global rich media communication and education initiatives.
Virage entered into a technology agreement with EMC Corporation to integrate the Virage software platform with the newly announced EMC Centera content addressed storage (CAS) solution.
Williams EnergyNewsLive.com deployed the Virage platform to manage video content efficiently and provide energy professionals the ability to quickly find the information they need.
Management Changes
Virage also announced today that Al Castino, chief financial officer, will be leaving the Company shortly and has accepted the position of senior vice president and chief financial officer at Autodesk, Inc., the world's leading design software and digital content company. Virage has named Scott Gawel, controller for the Company since February 2000, as acting CFO. Prior to Virage, Gawel worked for Ernst & Young for over five years, most recently as an audit manager.
"Autodesk is a premier company and the CFO position there is an outstanding career opportunity for me," said Castino. "I'm leaving Virage in a sound financial position and in the capable hands of Scott Gawel with whom I've worked closely at Virage over the last two and a half years. I've enjoyed working with the Virage team and wish them the best."
"I would like to thank Al for his significant contributions to Virage and congratulate him on his new position," said Lego. "We are fortunate to have someone of Scott's caliber to take the reins from Al and provide a smooth transition."
Business Outlook
"We expect that the business climate over the next few quarters will remain challenging," said Lego. "However, we are optimistic that the early traction of our enterprise webcasting product, coupled with the other solutions that we expect to ship this quarter, will ultimately drive revenue growth despite this climate. We believe the success of these solutions, coupled with the expense reductions that we undertook this past quarter, will allow us to slow our cash burn while we ride out the current downturn in IT spending. During this time, we will continue to strengthen our leadership position in what is anticipated to be a multi-billion dollar rich media communications market."
Virage First Quarter Webcast
Virage management will host a webcast to discuss first quarter financial performance, operating and strategic developments and forward-looking guidance at 3:00 p.m. Pacific Time (6:00 p.m. Eastern Time) today, Thursday, July 18, 2002. The webcast will be available live at http://investor.virage.com and will be available for replay at the same URL through August 31, 2002.
Forward-Looking Statements
This press release contains forward-looking statements, including statements about our future sales growth. Our forward-looking statements are based on currently available information, which management has assessed, but which is subject to rapid change due to risks and uncertainties that affect our business, including the unpredictability of future revenues due to limited visibility into future demand; the current uncertainty in our marketplace, which may impact expected demand, customer selection criteria and sales cycle; our ability to execute on service and software deliverables; slower economic growth and other factors beyond our control. Our forward-looking statements should be considered in the context of these and other risk factors disclosed from time to time in the company's filings with the Securities and Exchange Commission, including our annual report on Form 10-K and Form 10-Q filings.
Pro Forma Operating Results
Our pro forma operating results included in this press release represent our operating results for the respective periods presented excluding the impact of certain non-cash, stock-based charges. Such presentation is not in accordance with generally accepted accounting principles. Pro forma gross profit excludes $9,000 of non-cash, stock-based charges in each of the quarters ended June 30, 2002 and March 31, 2002. In addition, pro forma net loss for the three months ended June 30, 2002 and March 31, 2002 excludes non-cash, stock-based charges of $383,000 and $3.9 million, respectively.
About Virage
Established in 1995, Virage is a leading provider of video and rich media communication software. Virage builds integrated rich media business solutions for corporations, media & entertainment companies, universities and government agencies worldwide. Headquartered in San Mateo, California, Virage has offices throughout the United States and Europe.
# # #
Virage is a registered trademark and the Virage logo, VS Production, and VS Webcasting are trademarks of Virage, Inc. Other company product and service names may be trademarks or service marks of others, and are hereby acknowledged.
For the Earnings press release and financial statements, please go to: http:// investor.virage.com/news.
Summary: ...more than 3.4 million products and services from over 7,800 vendors. The site logs an average of 75,000 searches every workday. Under this immense volume, GSA’s former search technology proved slow and ineffective—forcing customers to sift through as many as 1,000 results for some queries. The site’s...
Summary: ...independent law firms in the Middle East, Al Tamimi & Company has built a reputation for the outstanding business law services it provides. To maintain its leadership position and compete successfully with global firms, Al Tamimi & Company had to bring its information management practices to a similarly...
Summary: ...time and budget savings from e-discovery in hours vs. days • More IT team time available for projects such as new business intelligence platform • 210 basis point increase in gross margin in 2009 despite recession, due to increased efficiencies “HP Integrated Archive Platform has gone beyond expectations...
Summary: ...Hayes Davis Bonino Ellingson McLay & Scott, LLP In addition to seeking greater stability, the frm hoped to improve on a few functional shortcomings as well. The current system’s lack of integrated e-mail management was forcing secretaries to spend much of their time printing and fling e-mails manually,...
Summary: ...a way to deploy best-of-breed DM capabilities—without straining its limited IT resources. “As cost center, we have to be very careful about the way we spend money,” she says. In the past, this had at developing software in-house rather than implementing a commercial solution. “Internally developed...
Summary: ...Autonomy iManage Case Study - VKA. During user training, a list of 200 past engagements stored in the system triggered a sense of déjà vu throughout the firm. “The memories of past projects that resurfaced were a big plus in our consultants’ acceptance of the system,” says Beukers. “It’s very...
Summary: ...that gives financially disadvantaged people access to public transportation. Under the program, individuals can purchase discount coupons for use on buses, subways, and taxis. Each coupon costs approximately five cents but can be used for $1 of transportation charges. To use the Cityride coupons, an individual...
Summary: ...our firm takes advantage of an auto-provisioning process that moves the documents within a workspace into the correct subfolder. “Even if people file things in the wrong place, they end up in the right place." Accessing Complete Matter Content Anytime, Anywhere In the past, mobile productivity for Krieg...
Summary: ...Autonomy Meridio: Australian Centre for International Agricultural Research (ACIAR). “The team on the project, which they called Project Memorystick, knew what they wanted and were very focused not just on the business requirements but also on what we believe is the most important aspect of these systems:...
Summary: ...a few hundred dealerships, Fox Systems teamed with Texas-based Electronic Data Systems (EDS) to build and install two regional production systems based in Flint, Mich. and Phoenix, Ariz. Both are maintained by EDS. Prior to implementing Express Application, loan applications were faxed to one of 200 GMAC...
Summary: ...is part of global banking group, BNP Paribas, and one of the UK’s leading providers of creditor, warranty and special risks insurance. In recent years Cardif Pinnacle has diversified into a range of other protection-based products, such as Medical Cash Plans, Sports Injury, Pet Healthcare, Home Emergency,...
Summary: ...AFLAC - Case Study. PROMOTE POWER PROTECT Aflac Seeks to Boost Customer Experience – and Succeeds For more than 50 years, Aflac products have given policyholders the opportunity to direct cash where it is needed most when a life-interrupting medical event causes financial challenges. Aflac is the number...
This is a small selection of the Autonomy case studies available, please visit our publications site at http://publications.autonomy.com/ for more information.
Summary: ...offers managers a powerful tool to protect their assets on and off-site, reducing losses and delivering tangible ROI. EPOS Key Features: Transactions monitored include refunds, voids, no sale, discount, keyed entry and credit cards Up to 16 cash registers per DVR, and can expand to include up to 65,000...
Summary: ...Notices Are Not Enough: Courts have made it clear that a legal hold notice is not enough. Why Custodian Self Collection is Risky: Self-Collection is rarely systemized, repeatable, or defensible and generally fails to meet Court requirements for legal holds. Automated Preservation and Collection Mitigates...
Summary: ...Meridio Professional Services. Customer, Meridio or 3rd party Partner - Defines timelines for completion of project or phase - Outline of personnel days and costs required to complete the SOW Customer Requirements Studies Customer requirements studies generally start with an onsite meeting involving Meridio...
Summary: ...to store certain documents, matching certain criteria in a specific archive • SAP documents to be stored in the same repository as all other critical business documents and records in the organization and held securely in accordance with compliance schedules • Autonomy Records Manager is fully configurable,...
Summary: ...with your brand, today’s businesses tend to be slow or simply unable to capitalize. Moving beyond disparate customer interaction data is the first step in becoming channelagnostic, and identify the insights that will positively impact your business. To date, no other options have existed, leaving the...
Summary: ...and departures. You can also include time scheduling as a standard facility to offer vehicle access control for commercial and industry entry/exit scenarios. Integration with the DVR system provides a complete solution to any license plate recognition requirement. Electronic point-of-sale monitoring Cash...
Summary: ...information into visible and actionable data • Complian ceand visibility with automatic audit logging of all activity and information • Improve control of operations and cash flow by accelerating business cycle • Gain advantageous financial terms based on improved accuracy and productivity • Enhan...
Summary: ...and DVR in one powerful package. The system detects and deters fraudulent activity at the point of sale by monitoring user-defi ned transactions such as: Refunds Voids No Sale • • • Discount Keyed Entry Credit Card • • • Separate interfaces are available to allow connection with: Cash registers...
Summary: ...applications for managing content during engagements • Tax and other applications for record-keeping Anywhere, anytime access to information As accounting professionals become a more mobile workforce, many spend most their time at client sites or in transit. With Interwoven, firms can give professionals...
This is a small selection of the Autonomy Product Briefs available, please visit our publications site at http://publications.autonomy.com/ for more information.
Summary: ...require limited cash outlay at the outset, deliver fixed costs, and enable customers to share risk with a third party that specializes in capturing, preserving, and (often most important) deleting electronic data in accordance with corporate or regulatory policies. A licensed solution can also be called...
Summary: ...to support reporting capabilities and accountability. 1 Gartner, ARMA International’s Generally Accepted Record-Keeping Principles: An IT Viewpoint Published: 7 June 2010, Analyst: Debra Logan Building a GARP®-Compliant Solution 3 Accountability can be achieved when comprehensive information access...
Summary: ...and retrieval There is a long running industry debate about the approaches to classification for records and some innovative approaches have recently emerged. Often rigidity in past classification practices have led to poor levels of user acceptance of enterprise records management systems, low levels...
Summary: ...information are identified and searched. …But counsel and client must take some reasonable steps to see that sources of relevant information are located.” —Zubulake v. UBS Warburg LLC, 2004 WL 1620866 at *8 (S.D.N.Y. Jul. 20, 2004). Improving the Legal Hold Process 5 Even prior to the FRCP amendments,...
Summary: ...Beyond the Email Archive Managing the Storage, Compliance and Lifecycle of Email. Storage manufacturers have responded to the budgetary needs of these organizations by creating storage devices with varying levels of performance and cost. In the past it was acceptable to simply have servers and tape backups...
Summary: ...IDOL Enterprise Desktop Search White Paper. Profitable for 24 consecutive quarters with cash reserves in excess of $75 million, Autonomy’s organic growth is approximately 20% year-over-year. Autonomy is publicly listed on the London Stock Exchange (AU.). The Autonomy Group includes: Aungate, specialist...
Summary: ...spend more than 30 minutes a day managing their mailboxes.5 Adding to lost end-user productivity, corporate users now spend more time searching for information than analyzing it.6 While it can be argued that not all time spent on managing email is unproductive, it is generally accepted that user time...
Summary: ...corporations to make sense of an ever-increasing amount of unstructured data.” Barclays Capital, Oct 2010 “Autonomy Process Automation allows our company to operate with the speed and agility we need to provide superior service to our clients.” Scott Hanson, Baird, Jul 2010 “The need to digest...
Summary: ...one’s ethical obligation to preserve the file and provide it upon request. In addition, lawyers generally have a duty under ABA Model Rule 1.6 not to disclose information relating to the representation of a client without client consent. Failing to properly organize and store emails (by simply leaving...
Summary: ...Virage Security and Surveillance White Paper. Virage Security and Surveillance EPOS delivers DVR/NVR of the highest quality. Combined with synchronous capture of cash register transactional data, Virage EPOS offers retailers the most versatile and efficient surveillance and retail management system available....
Summary: ...president of MIS at SERV Centers. “We needed a system that would allow us more time to do our jobs and that would stand up to a potential audit.” Two years prior, SERV Centers had piloted Cardiff® TeleForm®, an automated content capture solution, for a survey project. Accordingly, Mark Bensel contacted...
This is a small selection of the Autonomy White Papers available, please visit our publications site at http://publications.autonomy.com/ for more information.
Related Case Studies
Find us on Facebook
Follow us on Twitter
See us on YouTube
Find us on LinkedIn
