-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, U2zKVtpVavZlqdSOMLv7Xz2zKGaUfcmF9gjKCFonGU5ir8smCnhI8kAvPzA24e07 ba9uSeOtKSTm036XJ7w/Dw== 0000857005-05-000002.txt : 20050119 0000857005-05-000002.hdr.sgml : 20050119 20050119082043 ACCESSION NUMBER: 0000857005-05-000002 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20050119 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20050119 DATE AS OF CHANGE: 20050119 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PARAMETRIC TECHNOLOGY CORP CENTRAL INDEX KEY: 0000857005 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-PREPACKAGED SOFTWARE [7372] IRS NUMBER: 042866152 STATE OF INCORPORATION: MA FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-18059 FILM NUMBER: 05534925 BUSINESS ADDRESS: STREET 1: 140 KENDRICK STREET CITY: NEEDHAM STATE: MA ZIP: 02494 BUSINESS PHONE: 7813705000 MAIL ADDRESS: STREET 1: 140 KENDRICK STREET CITY: NEEDHAM STATE: MA ZIP: 02494 8-K 1 ptc8k19jan05.txt PTC'S 8-K JANUARY 19, 2005 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of report (Date of earliest event reported) January 19, 2005 ------------------------------ Parametric Technology Corporation - -------------------------------------------------------------------------------- (Exact Name of Registrant as Specified in Its Charter) Massachusetts 0-18059 04-2866152 - -------------------------------------------------------------------------------- (State or Other Jurisdiction (Commission (IRS Employer of Incorporation) File Number) Identification No.) 140 Kendrick Street, Needham, Massachusetts 02494-2714 - -------------------------------------------------------------------------------- (Address of Principal Executive Offices) (Zip Code) Registrant's Telephone Number, Including Area Code: (781) 370-5000 ------------------------------ - -------------------------------------------------------------------------------- (Former Name or Former Address, if Changed Since Last Report) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): |_| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |_| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |_| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |_| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) Section 2 - Financial Information Item 2.02. Results of Operations and Financial Condition. On January 19, 2005 the company issued a press release announcing results for its fiscal quarter ended January 1, 2005. A copy of the press release is furnished herewith as Exhibit 99.1. Section 9 - Financial Statements and Exhibits Item 9.01. Financial Statements and Exhibits. (c) Exhibits 99.1 A copy of the press release issued by Parametric Technology Corporation on January 19, 2005 is furnished herewith. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Parametric Technology Corporation Date: January 19, 2005 By: /s/ Cornelius F. Moses, III ----------------------------------------- Cornelius F. Moses, III Executive Vice President and Chief Financial Officer EX-99 2 ex9919jan2005.txt EXHIBIT 99 TO PTC'S 8-K JANUARY 19, 2005 Exhibit 99.1 Investor Contact: Media Contact: Meredith Mendola Nicole Rowe 781-370-6151 781-370-6369 mmendola@ptc.com nrowe@ptc.com PTC Reports First Quarter Fiscal Year 2005 Results - Company Exceeds Revenue and EPS Targets, Accelerates Growth - NEEDHAM, Mass., January 19, 2005 - PTC (Nasdaq: PMTC), the product development company(TM), today reported revenue of $169.2 million for the first fiscal quarter ended January 1, 2005, up 8% from $156.8 million for the same period last year. This revenue growth was driven by year-over-year growth in license, service and maintenance revenue across all major product lines and geographies. Net income for the first quarter was $19.2 million, or $0.07 per diluted share, compared with a net loss of $26.5 million, or a loss of $0.10 per diluted share, in the year-ago period. The year-ago period net income included restructuring charges of $21.6 million. Cash and cash equivalents grew to $334.1 million at the end of the first quarter, from $294.9 million at the end of the fourth quarter of 2004. This cash position reflects the receipt in the quarter of a $39.5 million income tax refund, which was previously announced by the Company. "Our performance in the first quarter was strong by all measures," said C. Richard Harrison, president and chief executive officer. "After significantly improving our profitability during the past year, we are working to accelerate growth. We will leverage our more productive distribution model, our highly differentiated software solutions, and our roadmap for customers to easily adopt full PLM functionality. Customer satisfaction is at an all-time high, and our growing list of new customers reflects the competitiveness of our offerings in the marketplace." Total revenue for design solutions in the first quarter was $123.0 million, up 8% from the first quarter of 2004. Design solutions license revenue of $32.5 million grew 9% year over year. Stronger sales of all packages of Pro/ENGINEER(R) Wildfire(TM) drove year-over-year design solutions growth, with particular strength in the entry-level package for small and medium businesses. Total revenue for our collaboration and control solutions in the first quarter was $46.2 million, up 8% from the first quarter of 2004. Collaboration and control solutions license revenue of $14.4 million grew 5% year over year. Sales were driven by a higher number of new seats, new customers and transactions in the quarter, reflecting PTC's success in driving incremental adoption of its solutions. Windchill Link solutions license revenue grew 32% year over year and represented 50% of overall collaboration and control solutions license revenue. In the first quarter, PTC received orders from leading manufacturing organizations in our core vertical segments as well as emerging segments such as medical products and consumer products. Customers included Boeing Company, Dalian Shipyard, Gaz Transport & Technigaz, INA-Schaeffler KG, Lockheed Martin Corporation, Poclain Hydraulics, Raytheon, Rolex SA, Toyota Motor Corporation, Volke Entwicklungsring GmbH and Webasto AG. Additionally, our reseller channel delivered $33.2 million in total revenue during the quarter, a 9% year-over-year increase. "We believe our business prospects are strong," continued Harrison. "The combination of increased business complexity in manufacturing and improved IT spending has driven new activity for PLM vendors. Leading companies are choosing to partner with PTC for product development solutions because of our superior ability to drive customer value. Our broad solution set provides a flexible platform to enable efficient and effective product development processes - something manufacturers struggle to achieve with outdated systems and manual processes. This allows us to drive adoption of our solutions in our traditional vertical segments and to position ourselves to serve new segments. As a result, we expect to continue to improve our competitive position and grow revenue and profit this year." Second Quarter 2005 Financial Outlook PTC's revenue forecast for the second quarter of fiscal 2005 is between $170 million and $175 million. Total costs and expenses (operating expenses) are expected to be approximately $150 million. The Company expects earnings per share on a GAAP basis to be between $0.06 and $0.08. The Company will provide detailed financial information and an outlook update on its first quarter fiscal year 2005 results conference call and live webcast on January 19, 2005 at 10 a.m. ET. This earnings press release and accompanying financial and operating statistics will be accessible prior to the conference call and webcast on the Company's web site at www.ptc.com/for/investors.htm. In addition, the live webcast may be accessed at the same Web address. To access the live call, please dial 888-566-8560 (in the U.S.) or +1-517-623-4768 (international). Please use passcode PTC. A replay of the call will be available until 5:00 p.m. ET on January 24, 2005. To access the replay via webcast, please visit www.ptc.com/for/investors.htm. To access the replay by phone, please dial 203-369-1212. The Company's unaudited consolidated statements of operations, the unaudited condensed consolidated balance sheets, and the unaudited condensed consolidated statements of cash flows for the first quarter of fiscal year 2005 are attached. About PTC PTC (Nasdaq: PMTC) provides leading Product Lifecycle Management (PLM) software solutions to more than 35,000 companies worldwide. PTC customers include many of the world's most innovative manufacturing companies in the aerospace & defense, automotive, consumer, electronics & high technology, industrial equipment and medical products industries. PTC is included in the S&P 500 and Russell 2000 indices. For more information on PTC, please visit http://www.ptc.com. Except for the historical information contained herein, matters discussed in this news release may constitute forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include: our ability to achieve financial and operating goals (including our second quarter revenue and earnings targets) by maintaining our significantly reduced cost structure while at the same time increasing revenue through strategic initiatives such as corporate development, vertical market solutions, strategic account growth and product innovation; the growth of the PLM market and our ability to capture market share by elevating investments in PLM as a spending priority and by differentiating our product offerings from those of other vendors; our success in leveraging customers' initial investments in our offerings to achieve longer term, more substantial customer investments through delivery of superior products, implementation services and support offerings; the success of our efforts to leverage our distribution model (including effectively coordinating, supporting, and, when appropriate, expanding our indirect channel sales activities); and continued improvement in the IT spending environment, which until recently has been weak and has impacted the overall demand for software and related services; as well as other risks and uncertainties detailed from time to time in reports filed by PTC with the Securities and Exchange Commission, including the Company's most recent reports on Form 10-K and 10-Q. PTC, The Product Development Company, Pro/ENGINEER, Wildfire, Windchill, and all PTC product names and logos are trademarks or registered trademarks of Parametric Technology Corporation or its subsidiaries in the United States and in other countries. All other companies and products referenced herein have trademarks or registered trademarks of their respective holders. PARAMETRIC TECHNOLOGY CORPORATION UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except per share data) Three Months Ended --------------------------------- January 1, January 3, 2005 2004 --------------------------------- Revenue: License $ 46,929 $ 43,517 Service 122,261 113,293 --------------------------------- Total revenue 169,190 156,810 --------------------------------- Costs and expenses: Cost of license revenue 1,497 2,127 Cost of service revenue 46,160 50,020 Sales and marketing 56,045 58,185 Research and development 26,467 29,579 General and administrative 15,587 14,960 Amortization of other intangible assets 222 1,409 Restructuring and other charges - 21,620 --------------------------------- Total costs and expenses 145,978 177,900 --------------------------------- Operating income (loss) 23,212 (21,090) Other expense, net (487) (490) --------------------------------- Income (loss) before income taxes 22,725 (21,580) Provision for income taxes 3,566 4,957 --------------------------------- Net income (loss) $ 19,159 $ (26,537) ================================= Earnings (loss) per share - Basic and Diluted $ 0.07 $ (0.10) Weighted average shares outstanding - Basic 270,036 266,422 Weighted average shares outstanding - Diluted 279,194 266,422 PARAMETRIC TECHNOLOGY CORPORATION UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands) January 1, September 30, 2005 2004 --------------------------------- ASSETS Cash and cash equivalents $ 334,064 $ 294,887 Accounts receivable, net 134,364 130,393 Property and equipment, net 53,590 55,780 Goodwill and other intangibles, net 56,459 56,543 Other assets 126,514 128,779 --------------------------------- Total assets $ 704,991 $ 666,382 ================================= LIABILITIES AND STOCKHOLDERS' EQUITY Deferred revenue $ 200,388 $ 176,664 Other liabilities 235,733 247,767 Stockholders' equity 268,870 241,951 --------------------------------- Total liabilities and stockholders' equity $ 704,991 $ 666,382 ================================= PARAMETRIC TECHNOLOGY CORPORATION UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands) --------------------------------- January 1, January 3, 2005 2004 --------------------------------- Cash flows from operating activities: Net income (loss) $ 19,159 $ (26,537) Depreciation and amortization 6,473 9,562 Other 3,052 962 --------------------------------- Net cash provided (used) by operating activities 28,684 (16,013) Capital expenditures (2,804) (2,896) Other investing and financing activities 3,045 341 Foreign exchange impace on cash 10,252 3,311 --------------------------------- Net change in cash and cash equivalents 39,177 (15,257) Cash and cash equivalents, beginning of period 294,887 205,312 --------------------------------- Cash and cash equivalents of period $ 334,064 $ 190,055 ================================= -----END PRIVACY-ENHANCED MESSAGE-----