Business Services Industry
Proxicom Revenue More Than Triples and Profit Margins Expand; Focused Operations Deliver Pro Forma EPS of $0.05
Business Wire, July 19, 2000
PROXICOM, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(unaudited)
Three Months Ended Six Months Ended
June 30, June 30,
1999 2000 1999 2000
---- ---- ---- ----
Revenue $ 16,221 $ 50,923 $ 29,475 $ 89,090
Cost of revenue 9,019 23,965 16,928 42,382
Gross profit 7,202 26,958 12,547 46,708
Operating Expenses:
General and administrative 5,596 18,611 10,158 31,708
Selling and marketing 787 4,201 1,437 7,795
Stock-based compensation -- 1,827 -- 1,827
Amortization of intangible
assets -- 3,486 -- 3,486
Acquisition and merger costs -- -- 300 --
Total 6,383 28,125 11,895 44,816
------ ------ ------ ------
Income (loss) from operations 819 (1,167) 652 1,892
Interest income, net 476 1,455 411 3,144
Net income before income taxes 1,295 288 1,063 5,036
Income tax provision 531 2,346 447 4,402
Net income (loss) 764 (2,058) 616 634
Dividend:
Beneficial conversion of
1,218,333 shares of
Series D convertible
preferred stock (1) -- -- (4,873) --
Net income (loss) available
to common stockholders $ 764 $ (2,058) $ (4,257) $ 634
====== ====== ====== ======
Net income (loss) per share:
Basic $ 0.02 $ (0.04) $ (0.11) $ 0.01
====== ====== ====== ======
Diluted $ 0.01 $ (0.04) $ (0.11) $ 0.01
====== ====== ====== ======
Weighted average shares,
basic 46,032 55,095 38,234 54,399
Weighted average shares,
diluted 53,230 55,095 38,234 63,665
Pro forma data (2):
Net income before income
taxes 1,295 288 1,063 5,036
Non-cash and acquisition
and merger costs charges 108 5,346 525 5,381
Pro forma income before
taxes 1,403 5,634 1,588 10,417
Pro forma income tax
expense 575 2,423 607 4,479
Pro forma net income $ 828 $ 3,211 $ 981 $ 5,938
===== ===== ===== =====
Pro forma diluted income
per share $ 0.02 $ 0.05 $ 0.02 $ 0.09
===== ===== ===== =====
Weighted average shares,
diluted 53,230 63,579 47,010 63,665
====== ====== ====== ======
(1) To record a non-cash dividend for the beneficial conversion of
Series D convertible preferred shares sold in February 1999 at
$3.00 per share.
(2) The pro forma data excludes acquisition and merger related
expenses, including stock-based compensation and amortization of
purchased intangible assets and excludes non-cash beneficial
conversion charge. This does not purport to be prepared in
accordance with Generally Accepted Accounting Principles.
PROXICOM, INC.
CONSOLIDATED BALANCE SHEETS
(dollars in thousands)
(unaudited)
December 31, June 30,
1999 2000
---- ----
ASSETS
Current assets:
Cash and cash equivalents $113,819 $ 70,348
Investments 5,819 38,449
Accounts receivable, net 24,043 40,776
Unbilled services 1,865 2,197
Other current assets 3,354 5,689
------- -------
Total current assets 148,900 157,459
Net intangibles -- 46,129
Property and equipment, net 5,063 11,185
Deferred tax assets and other 6,151 11,354
------- -------
Total assets $160,114 $226,127
======= =======
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Trade accounts payable $ 1,345 $ 5,702
Accrued compensation 8,298 13,927
Deferred revenue 3,533 3,845
Other accrued liabilities 3,679 8,557
------ ------
Total current liabilities 16,855 32,031
Long term deferred tax -- 2,320
Stockholders' equity 143,259 191,776
======= =======
Total liabilities and
stockholders' equity $160,114 $226,127
======= =======
PROXICOM, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
(unaudited)
Six Months Ended
June 30,
1999 2000
---- ----
Cash flows (used in) provided by
operating activities:
Net income $ 616 $ 634
Adjustments to reconcile net income to
net cash (used in) provided by operating
activities and changes In assets and
liabilities (8,892) 6,793
Net cash (used in) provided by operating
activities (8,276) 7,427
Cash flows used in investing activities:
Acquisition of subsidiary, net of cash -- (19,466)
Purchases of property and equipment, net (1,365) (6,828)
Net purchases of investments (56,128) (32,539)
Net cash used in investing activities (57,493) (58,833)
Cash flows from financing activities:
Issuance of Series D convertible preferred 7,279 --
Proceeds from exercise of warrants 8,000 --
Proceeds from public offerings 54,310 --
Exercise of stock options 1,921 5,807
Purchase of stock through ESPP -- 2,129
Repayments under lines of credit, net (5,554) --
Subchapter S Corporation distributions (130) --
Net cash provided by financing activities 65,826 7,936
Effect of exchange rate changes -- (1)
Net increase (decrease) in cash and cash
equivalents 57 (43,471)
Cash and cash equivalents at beginning of
period 2,586 113,819
----- -------
Cash and cash equivalents at end of period $ 2,643 $ 70,348
====== =======
COPYRIGHT 2000 Business Wire
COPYRIGHT 2008 Gale, Cengage Learning
- 5 Rules for Immediate Annuities
- Death in the Family: 12 Things to Do Now
- Dumbest Things You Do With Your Money
- 6 Online Networking Mistakes to Avoid
- 401(k) Mistakes to Avoid
- 5 Economic Scenarios to Keep You Up at Night
- The Real ‘Best Places to Retire’
- Best Credit Cards for You
- 12 Tough Questions to Ask Your Parents
- The Real ‘Best Colleges’
- Home Buyer Tax Credit: How to Cash In
- Why You Shouldn't Bash Cash
- 8 Phony 'Bargains' and Better Alternatives
- Danger: 3 Debit Card Scams to Avoid
- 6 Myths About Gas Mileage
- 29 Fees We Hate Most
- Quick and Easy Ways to Boost Returns
- Best Stocks to Buy Now
- Lower Your Taxes: 10 Moves to Make Now
- New Jobs: 8 Lessons from Real-Life Career Switchers
- The New Job Market: Who Wins and Who Loses?
- Health Care Reform's Public Option: Everything You Need to Know
- Volunteer Work When Unemployed: Should You Work for Free?
- Whose Recovery Is This?
- Long-Term-Care Insurance: 4 Biggest Risks to Avoid
Content provided in partnership with
Most Recent Business Articles
- Multiple criteria evaluation and optimization of transportation systems
- Multi-criteria analysis procedure for sustainable mobility evaluation in urban areas
- A two-leveled multi-objective symbiotic evolutionary algorithm for the hub and spoke location problem
- Multi-criteria analysis for evaluating the impacts of intelligent speed adaptation
- The development of Taiwan arterial traffic-adaptive signal control system and its field test: a Taiwan experience
Most Recent Business Publications
Most Popular Business Articles
- 7 tips for effective listening: productive listening does not occur naturally. It requires hard work and practice - Back To Basics - effective listening is a crucial skill for internal auditors
- FAS 109: a primer for non-accountants - Financial Accounting Standards Board's "Statement 109: Accounting for Income Taxes"
- LIFO vs. FIFO: a return to the basics
- Too Young to Rent a Car? - 25-years-old the minimum age for car renting - Brief Article
- Design a commission plan that drives sales - Sales Commissions
Presented by American Express