SAN FRANCISCO, CA — (Marketwired) — 04/29/13 — Advent Software, Inc. (NASDAQ: ADVS), a leading provider of software and services to the global investment management industry, announced today its financial results for the first quarter ended March 31, 2013.
“Advent had a great start to the year, with strong bookings and record operating margin,” said Pete Hess, Chief Executive Officer at Advent. “Our focus is to help investment managers thrive by being the best at what our clients expect. Our efforts to accelerate the value we deliver to our clients are being recognized by the market as evidenced by our strong results this quarter.”
The Company reported quarterly revenue of $92.5 million for the first quarter of 2013, compared to $86.9 million in the first quarter of 2012, a 6% increase.
Operating income for the first quarter of 2013 was $16.2 million, or 17.5% of revenue, compared to $11.8 million or 13.6% of revenue for the first quarter of 2012.
Net income for the first quarter of 2013 was $12.1 million compared to $7.3 million in the first quarter of 2012, a 65% increase.
On a fully diluted basis, earnings per share in the first quarter of 2013 were $0.23 compared to $0.14 in the first quarter of 2012, a 67% increase.
Operating cash flow in the first quarter of 2013 was $17.2 million, compared with $13.6 million in the first quarter of 2012, a 27% increase.
Cash, cash equivalents and marketable securities totaled $247 million as of March 31, 2013, compared to $231 million as of December 31, 2012, a 7% increase. Total outstanding debt as of March 31, 2013 was $93 million compared to $95 million as of December 31, 2012. Total deferred revenue as of March 31, 2013 was $177 million, compared to $183 million as of December 31, 2012.
Non-GAAP operating income for the first quarter of 2013 was $26.4 million, or 28.5% of revenue. This represents a 34% increase over the same period last year. On a fully diluted basis, non-GAAP earnings per share were $0.32 in the first quarter of 2013 and represent a 36% increase from non-GAAP diluted earnings per share of $0.24 in the first quarter of 2012. Adjusted EBITDA was $27.8 million for the first quarter of 2013, a 19% increase compared to $23.3 million over the same period in 2012.
The reconciliation between GAAP and non-GAAP financial measures is provided at the end of this press release.
The Annual Contract Value (ACV) of our new contract bookings in the first quarter of 2013 will contribute $8.7 million in annual revenue once the contracts are fully implemented and represent a 17% increase from the first quarter of 2012. The initial renewal rate for the fourth quarter of 2012 was 91%. The renewal rate from the third quarter of 2012 increased by two points to 96% as additional cash was collected.
Advent had a strong first quarter, with a number of existing clients expanding their relationship with Advent, including Gramercy Funds Management, and many noteworthy new clients around the world, including Investec, Qant Edge, SinoPac Securities, and Welch, Hornsby, & Welch.
Advent continues to win accolades globally. Advent was awarded “Excellence in Alternative Investments” in the category of “Technology Provider” during the 3rd annual International Alternative Investment Review (IAIR) Hedge Fund Awards, which took place in Hong Kong. Advent was also named “Best Portfolio Management and Accounting Systems” by Markets Media at the inaugural 2013 Markets Choice Awards. Additionally, for the seventh year in a row, Advent has been named one of the Best Places to Work in the Bay Area by the San Francisco Business Times.
Advent updates the following financial revenue guidance for the second quarter and operating margin guidance for fiscal year 2013:
Advent Software, Inc. will host its Q1 2013 quarterly earnings conference call at 5:00 p.m. Eastern time today. The Q1 2013 earnings presentation and trended disclosures file, which include highlights and detailed financial information, are currently available at . To participate via phone, please dial (866) 515-2911 and request conference ID #63438590. Telephone replay will be available through midnight May 6, 2013. The replay number for domestic callers is (888) 286-8010, and for international callers is (617) 801-6888, with the conference ID of #63296730.
The conference call will also be webcast live and then archived on .
Advent Software, Inc. (), a global firm, has provided trusted solutions to the world-s leading financial professionals since 1983. Firms in more than 60 countries use Advent technology. Advent-s quality software, data, services and tools enable financial professionals to improve service and communication to their clients, allowing them to grow their business while controlling costs. Advent is the only financial services software company to be awarded the Service Capability and Performance certification for being a world-class support organization. For more information on Advent products visit .
This press release includes non-GAAP financial measures. For a description of these non-GAAP financial measures, including the reasons management uses each measure, and reconciliations of these non-GAAP financial measures to the most directly comparable financial measures prepared in accordance with Generally Accepted Accounting Principles (GAAP), please see the accompanying tables entitled “Reconciliation of Selected Continuing Operations- GAAP Measures to Non-GAAP Measures.”
The financial projections under Financial Guidance, and any other forward-looking statements included in this presentation reflect management-s best judgment based on factors currently known and involve risks and uncertainties; our actual results may differ materially from those discussed here. These risks and uncertainties include: potential fluctuations in new contract bookings, renewal rates, operating results and future growth rates; continued market acceptance of our Advent Portfolio Exchange®, Geneva®, and Moxy® products; the successful development, release and market acceptance of new products and product enhancements; uncertainties and fluctuations in the financial markets; the Company-s ability to satisfy contractual performance requirements; difficulties in integrating merged businesses, such as Syncova Solutions Limited and Black Diamond Performance Reporting LLC, and achieving expected synergies and results; and other risks detailed from time to time in our SEC reports including, but not limited to, our quarterly reports on Form 10-Q and our 2012 Annual Report on Form 10-K. The Company disclaims any intention or obligation to publicly update or revise any forward-looking statements including any guidance, whether as a result of events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
Advent, the Advent logo and Advent Software are registered trademarks of Advent Software, Inc. All other company names or marks mentioned herein are those of their respective owners.
Media Contact:
Amanda Diamondstein-Cieplinska
Advent Software, Inc.
(415) 645-1668
Investor Relations Contact:
Heidi Flaherty
Advent Software, Inc.
(415) 645-1145
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