Wednesday, May 13, 2009
GlobalSCAPE First Quarter Financial Results
SAN ANTONIO -- GlobalSCAPE, Inc. (NYSE Amex:
GSB), a leading developer of file transfer solutions, today announced financial
results for its first quarter of fiscal year 2009, ended March 31, 2009.
Revenue was $3.2 million, a decline of 20 percent when compared with revenue of
$4.1 million in the same quarter last year. Net loss for the first quarter was $244,000,
or net loss of $0.01 per diluted share. This compares with net income of $152,000,
or net income of $0.01 per diluted share, in the same period a year ago.
"Our first quarter results reflect the impact of the economic downturn on both consumer
and business spending during the first part of the year," said Jim Morris, GlobalSCAPE
President and CEO. "As previously announced, we decided to continue making strategic
investments in our business, even during the downturn, to ensure that we sustain
the momentum necessary to excel as the economy strengthens. Our recent product announcements,
contract wins, and partnerships validate this decision," Morris continued. "We are
looking forward to a profitable second quarter, and to extending our market leadership."
In January, GlobalSCAPE announced a partnership with Network Automation to deliver
a new workflow engine for EFT Server, the company’s enterprise information-sharing
solution. The new workflow engine saves customers time and money as they develop
workflows to streamline and automate complex processes involving file transfer.
In March, the company released EFT Server Version 6. This newest version of GlobalSCAPE’s
flagship information-sharing solution reflected almost two years of cumulative development
effort since the last major release of EFT Server in June 2007. No other managed
file transfer product provides an equivalent level of compatibility with industry
standards and support for regulatory compliance initiatives.
During March, GlobalSCAPE also announced a partnership with Carahsoft, a $300 million
provider of IT solutions to the government sector. Through the Carahsoft partnership,
government organizations can procure GlobalSCAPE’s solutions easily through long-term,
pre-approved contract vehicles. The U.S. Army awarded GlobalSCAPE a $2.7 million
U.S. Army contract, announced in April, using Carahsoft’s GSA Schedule.
"We added numerous new enterprise-level customers during the first quarter and expanded
our presence in other customer IT environments during the first quarter," Morris
noted. "Customers have responded positively to our latest version of EFT Server,
recognizing the powerful new features in this solution as well as the importance
of our numerous certifications and validations awarded during the past year. We
also have received increasing interest from other prospective partners within our
industry and in adjacent market spaces."
GlobalSCAPE, Inc. (NYSE Amex: GSB), headquartered in San Antonio, TX, is a global
provider of managed file transfer (MFT) solutions for securely exchanging critical
information over the Internet, within an enterprise, or to business partners. Since
the release of CuteFTP in 1996, GlobalSCAPE's solutions have continued to evolve
to meet the business and technology needs of an increasingly interconnected global
marketplace. For more information about GlobalSCAPE's products, visit www.globalscape.com.
Safe Harbor Statement
This press release contains forward-looking statements within the meaning of Section
27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act
of 1934. The words "would," "exceed," "should," "anticipates," "believe," "steady,"
"dramatic," and variations of such words and similar expressions identify forward-looking
statements, but their absence does not mean that a statement is not a forward-looking
statement. These forward-looking statements are based upon the Company's current
expectations and are subject to a number of risks, uncertainties, and assumptions.
The Company undertakes no obligation to update any forward-looking statements, whether
as a result of new information, future events or otherwise. Among the important
factors that could cause actual results to differ significantly from those expressed
or implied by such forward-looking statements are risks that are detailed in the
Company's Annual Report on Form 10-K for the 2008 calendar year, filed with the
Securities and Exchange Commission on March 31, 2009.