ריטליקס מכריזה על תוצאות הרבעון השלישי לשנת 2012
RA'ANANA, Israel, November 18, 2010 -- Retalix® Ltd. (NasdaqGS:RTLX), a leading provider of Software and Services for retailers and distributors, announced today results for the third quarter ended September 30, 2010.
Summarized financial highlights for the three months ended September 30, 2010:
•Total Revenues were $52.9 million, compared to $50.1 million in the third quarter of 2009.
•Adjusted Income from Operations (Non-GAAP)* was $5.3 million, compared to $4.9 million in the third quarter of 2009.
•Income from Operations (GAAP) was $3.4 million, compared to $3.5 million in the third quarter of 2009.
•Financial Income was $2.7 million compared to a financial income of $1.5 million in the third quarter of 2009. Included in the financial income is higher interest income in 2010, the impact of currency fluctuations on the Company’s non-dollar assets and the value of the Company's forward currency transactions.
•Adjusted Net Income (Non-GAAP)* was $6.5 million, or $0.27 per diluted share, compared to $5.0 million, or $0.24 per diluted share, in the third quarter of 2009. The per share calculation includes an increase in the weighted diluted shares outstanding to 24.2 million for the quarter versus 20.4 million shares in the third quarter of 2009 reflecting a private placement completed in November 2009.
•GAAP Net Income was $4.7 million, or $0.19 per diluted share, versus a GAAP Net Income of $4.2 million, or $0.20 per diluted share, in the third quarter of 2009. The per share figures again reflect the increase in shares outstanding mentioned above.
•Cash Flow from Operating Activities generated $13.3 million during the third quarter of 2010, including $7.5 million related to a tax refund.
•Balance Sheet grew to about $120 million in cash and cash equivalents, deposits and marketable securities with negligible debt as of September 30, 2010.
Shuky Sheffer, Chief Executive Officer of Retalix, said, “We again achieved growth in total revenues and maintained our level of profitability while continuing to build our growth engines. We are winning new clients and successfully delivering programs to our customers while also focusing on building our demand-driven products for the store platform and supply chain. We are rolling out new unique service offerings designed to leverage our domain expertise and provide distinct advantages to our customers. Last week we hosted our largest and most successful users’ conference in the history of Retalix. We shared with our customers, partners and leading industry analysts our view of the markets and our strategy for the future and received very positive feedback about our direction.”
Hugo Goldman, the Company's Chief Financial Officer, said, “We had solid financial results in the third quarter of 2010 compared to the previous quarter and year-ago period. We are continuing to add to our headcount to enhance our customer facing teams and build our services organization in addition to realigning internal resources to focus on the best opportunities. At the same time we maintained a 10% non-GAAP operating margin and generated $13.3 million in cash flow from operating activities during the third quarter. Income from operations (GAAP) was at $3.4 million, similar to the second quarter, and includes an increase in share based compensation costs versus year-ago period. Net Income GAAP and non-GAAP both showed healthy gains over the year-ago periods. Further we continue to maintain a very strong balance sheet with about $120 million in cash and cash equivalents, and very negligible debt.”
Outlook for FY 2010
Sheffer added, “We are continuing to make progress executing on our plans. We are reiterating the guidance we gave in August. We expect total revenues for 2010 of between $200 and $210 million and similar or better profitability than 2009. Overall we are satisfied by our progress and we are on track with our goals for 2010.”
Conference Call and Webcast Information
Retalix will be holding a conference call to discuss results for the third quarter 2010 on Thursday, November 18th at 9:00 am Eastern Time (4:00 pm Israel Time). This conference can be accessed by all interested parties through the Company's web site at http://www.retalix.com/conference-call.cfm, which web site is not part of this press release. For those unable to participate during the live broadcast, a replay will be available shortly after the call on Retalix's web site.
Retalix is an independent provider of software solutions to retailers and distributors worldwide. Retalix solutions serve the needs of grocery chains, convenience and fuel retailers, food and consumer goods distributors and independent grocers. The Company offers a portfolio of software applications that automate and synchronize essential retail and supply chain operations, encompassing stores, headquarters and warehouses. The Company's International headquarters are located in Ra'anana, Israel, and its American headquarters are located in Dallas, Texas. For more information about Retalix, please visit www.retalix.com, the contents of which are not part of this press release.
Retalix is a registered trademark of Retalix Ltd. in the United States and in other countries. The names of actual companies, products and services mentioned herein may be the trademarks of their respective owners.
* Note Regarding the Use of Non-GAAP Financial Information
In addition to reporting financial results in accordance with generally accepted accounting principles, or GAAP, Retalix uses Non-GAAP measures of operating income, net income and earnings per share, which are adjustments from results based on GAAP to exclude non-cash equity based compensation, indirect private placement costs, and amortization of intangibles related to acquisitions, as well as impairment of goodwill when applicable. Retalix's management believes the Non-GAAP financial information provided in this release is useful to investors' understanding and assessment of the Company's on-going core operations and prospects for the future. The presentation of this Non-GAAP financial information is not intended to be considered in isolation or as a substitute for results prepared in accordance with GAAP. Management also uses both GAAP and Non-GAAP information in evaluating and operating business internally and as such deemed it important to provide this information to investors. Reconciliations between GAAP measures and Non-GAAP measures are contained following the GAAP financial statements in this press release.
Safe Harbor for Forward-Looking Statements:
Except for statements of historical fact, the information presented herein constitutes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other U.S. federal securities laws. For example, the statements regarding our "Outlook for FY 2010" including our expected results, expected demand and opportunities, future expansion of product offerings and services, and future strategic plans and positioning, all involve forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Retalix, including revenues, income and expenses, to be materially different from any future results, performance or achievements or other guidance or outlooks expressed or implied by such forward-looking statements. Such factors include risks relating to Retalix's anticipated future financial performance and growth, the performance of the US dollar relative to other currencies, continued roll-outs with existing customers, continued interest in Retalix's new platforms, the perception by leading retailers of Retalix's reputation, the potential benefits to food and fuel retailers and distributors, expansion into new geographic markets, and other factors over which Retalix may have little or no control. This list is intended to identify only certain of the principal factors that could cause actual results to differ. Readers are referred to the reports and documents filed by Retalix with the Securities and Exchange Commission, including Retalix's Annual Report on Form 20-F for the year ended December 31, 2009, for a discussion of these and other important risk factors. Except as required by law, Retalix undertakes no obligation to publicly release the results of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof, or to reflect the occurrence of unanticipated events.