The net profit for the quarter was $14.9 million, or $0.05 per diluted share, before charges primarily related to the Company’s previously announced plans to establish two separate, independent operating companies. This compares to a net loss before charges in the 2000 third quarter of $18.5 million or $(0.06) per diluted share, and net profit of $52.5 million, or $0.18 per diluted share in the fourth quarter of 1999.
Including charges of $14.7 million as described above, Informix reported a net profit of $0.3 million in the fourth quarter of 2000.
Peter Gyenes, Chairman and Chief Executive Officer, commented, As we had projected, we are pleased to report a return to profitability in the fourth quarter led by a 23% sequential gain in license sales, as well as a 6% sequential reduction in operating expenses. Informix Corporation has turned the corner and is now on its way to delivering stockholder returns equal to the high quality of its products.
Revenue of Ascential(TM) Software, the recently renamed e-Business software infrastructure and solutions company, was $33.7 million, compared with $29.1 million in the third quarter of 2000, a 16% sequential increase. This increase was fueled by strong sales of data integration and content management products, Datastage(TM) and Media360(TM), respectively. Revenue of Informix Software, the Company’s Database business, grew to $193.1 million in the 2000 fourth quarter, from $182.0 million in the third quarter, driven by sales of database licenses, which rose 23% sequentially.
International sales represented 51% of the Company’s revenue during the fourth quarter of 2000.
For the year 2000, Informix Corporation reported sales of $929.3 million compared to $1,039.1 million for 1999. Revenue of Informix Software was $807.6 million for full year 2000, compared to $955.0 million in 1999. Ascential Software revenue was $121.7 million for the year versus pro forma revenues of $84.1 million in 1999. The Company’s net profit before non-recurring charges was $28.3 million, or $0.09 per diluted share, in 2000 versus $110.2 million, or $0.40 per diluted share last year. Including charges of $126.8 million mostly related to merger, realignment and other charges, Informix reported a net loss of $98.5 million, or $(0.34) per diluted share.
At December 31, 2000, Informix Corporation had $217 million in cash and no debt. The Company said that although cash declined during the period as a result of planned non-recurring costs, mostly related to the charges described above, it expects to be a significant net cash generator throughout 2001.
We look back on 2000 as a year of rebuilding and repositioning Informix for sustained revenue and earnings growth, said Mr. Gyenes. The third quarter of 2000 represented a turning point in our efforts to regain the Company’s previous stature and momentum, and the fourth quarter of 2000 represents evidence that our strategies are producing results.
