GlobalSCAPE Announces Fourth Quarter and 2009 Fiscal Year End Financial Results
Increases Net Income 118% and Cash 30% Compared with Fiscal 2008
Revenue for fiscal 2009 was $16.5 million, an increase of four percent when compared with revenue of $15.8 million last year. Net income for fiscal 2009 was $1.4 million, or $0.08 per diluted share, compared with a net loss of ($7.7) million, or ($0.44) per diluted share in 2008. Cash and short term investments grew to $8.2 million, a 30 percent increase from 2008, even after the Company's fourth quarter investment of $2.3 million in CoreTrace Corporation.
Revenue for the fourth quarter was $4.2 million, an increase of 10 percent compared to the fourth quarter of 2008. "We had a strong 2009, especially considering the economic conditions through the first half of the year," said Jim Morris, GlobalSCAPE president and CEO. "Our cash and fourth quarter revenue growth demonstrate our continued and increasingly strong financial performance. We are looking forward to further market expansion and financial growth."
The prior year net loss included a $9 million non-cash impairment of goodwill and intangible assets. Excluding this impairment from 2008 would have resulted in an Adjusted Net Income of $254,000. Adjusted Net Income is a non-GAAP measure. See the accompanying table for a reconciliation of net loss to Adjusted Net Income.
Adjusted EBITDA for the fourth quarter was $632,000, a 37 percent increase compared with the fourth quarter of 2008. For the full year, Adjusted EBITDA was $3.5 million, an increase of 26 percent relative to 2008. The Adjusted EBITDA margin for the fourth quarter was 15.2 percent, up from 12.2 percent in the fourth quarter of 2008. For the full year, the Adjusted EBITDA margin was 21.5 percent, up 370 basis points from 2008. Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP measures. See the accompanying table for a reconciliation of net income/loss to Adjusted EBITDA and Adjusted EBITDA margin.
Conference Call March 31, 2010 At 4:00 p.m. ET
GlobalSCAPE management will hold a conference call Wednesday, March 31 to discuss the fourth quarter and fiscal year 2009 financial results and other corporate matters at 4:00 p.m. Eastern Time/3:00 p.m. Central Time. Those wishing to join should dial 1-800-380-1061 and use Conference ID # 60432415. A live webcast of the conference call will also be available in the investor relations page of the company's website at www.globalscape.com. A webcast replay of the conference call will be available on the Company's website through April 30, 2010.
GlobalSCAPE, Inc. (NYSE Amex: GSB), headquartered in San Antonio, TX, is a global provider of managed file transfer (MFT) and wide area file services (WAFS) solutions for securely exchanging critical information over the Internet, within an enterprise, and with 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 and services, visit www.globalscape.com or the company's Secure Info Exchange blog.
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.