Concerto revenue at $26.3m

Our Convergence Bureau
24 July 2003

Mumbai: Concerto Software (www.concerto.com), a leading provider of customer interaction management (CIM) solutions, today announced financial results for the second quarter ended 30 June 2003, and raises its revenue and earnings per share (EPS) guidance for the full year of 2003.

In the second quarter of 2003, Concerto Software met its revenue expectations for the seventh consecutive quarter and exceeded its EPS guidance of $0.04-0.05, delivering $0.06 per share. The company attributes its strong financial performance this quarter in part to sequentially more than doubling sales of EnsemblePro, its unified contact centre platform that continues to gain momentum in the marketplace, specifically in the inbound sector.

Concerto Software also credits record product revenue contribution by its Asia Pacific operations, continued demand for its industry-leading outbound contact centre solution, Unison, and a sustained focus on controlling costs.

For the second quarter of 2003, the total revenue increased by 6 per cent to $26.3 million from $24.7 million in the same period in 2002, and increased 3 per cent from $25.6 million for the first quarter of 2003. The product revenue for the second quarter of 2003 increased by 2 per cent to $11.8 million compared to $11.5 million for the same period in 2002, and increased 7 per cent from $11.0 million in the first quarter of 2003.

On a basis in accordance with generally accepted accounting principles (GAAP), the net income for the second quarter of 2003 was $647,000 or EPS of $0.06, compared to net income of $245,000 or EPS of $0.02 for the same period in 2002.

"Our positive financial performance this quarter in a number of areas — growing the top- and bottom-line, more than doubling sales of EnsemblePro, and being cash flow positive from operations — is proof of our ability to effectively execute on our strategy even in the face of continued challenging economic times," says James D Foy, president and CEO, Concerto Software. "I am pleased with the track record of success that Concerto Software has established thus far and confident that we will continue to deliver on our expectations. As a result, I''m proud to report we are raising our full-year guidance for both revenue and EPS."