1
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 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): August 7, 2001
ASPEN TECHNOLOGY, INC.
(Exact name of registrant as specified in its charter)
DELAWARE 0-24786 04-2739697
- --------------------------------------------------------------------------------
(State or other jurisdiction of (Commission (I.R.S. Employer
incorporation or organization) File Number) Identification No.)
Ten Canal Park, Cambridge, Massachusetts 02141
----------------------------------------------------
(Address of principal executive office and zip code)
(617) 949-1000
------------------
(Registrant's telephone number, including area code)
------------------
2
ITEM 5. OTHER EVENTS.
On August 7, 2001, we reported our financial results for our fourth quarter and
fiscal year ended June 30, 2001.
Our total revenues for the fourth quarter were $83.0 million, up 9 percent
sequentially from our third quarter. Our license revenues totaled $40.0 million
and services revenues were $43.0 million for the quarter ending June 30, 2001.
We reported a pro forma loss per share of $0.06, which excludes one-time
acquisition and restructuring charges and amortization of goodwill. Excluding
these charges and expenses relating to PetroVantage, our wholly owned subsidiary
providing software to optimize the trading and logistics of crude oil and
refined products, we reported pro forma net income of $0.4 million or $0.01 per
diluted share.
We also announced that, in light of economic uncertainties, we anticipate making
additional expense reductions to improve our efficiency and return to
profitability as soon as possible. These actions include reducing our worldwide
workforce, which numbered 1,900 at June 30, 2001, by approximately 5 percent.
For the fiscal year ended June 30, 2001, we reported total revenues of $310.6
million, up 16 percent from $268.1 million reported in fiscal 2000. We reported
a pro forma net loss of $3.5 million, or ($0.12) per basic share, excluding
amortization of goodwill, one-time acquisition and restructuring costs, and
write-off of our e-Chemicals investment. Excluding these expenses and the costs
related to PetroVantage, we reported pro forma net income of $2.3 million or
$0.07 per diluted share.
3
The following tables present unaudited selected consolidated financial data as
of, and for the quarters and fiscal years ended, June 30, 2000 and 2001 (in
thousands, except per share information):
Quarter Ended Fiscal Year Ended
------------------------- ----------------------
June 30, June 30, June 30, June 30,
2001 2000 2001 2000
-------- -------- -------- --------
CONSOLIDATED STATEMENTS OF OPERATIONS DATA:
Revenues
Software licenses $ 40,012 $47,272 $147,448 $132,843
Services 43,012 36,081 163,176 135,250
-------- ------- -------- --------
Total revenues 83,024 83,353 310,624 268,093
-------- ------- -------- --------
Expenses
Cost of software licenses 3,151 2,875 11,856 9,605
Cost of services 25,734 22,704 98,295 85,193
Selling and marketing 31,846 28,896 113,608 91,863
Research and development 18,763 15,129 68,913 51,567
General and administrative 8,189 7,408 30,643 24,736
Restructuring and other charges 6,969 -- 6,969 --
Charge for in-process research and development 2,300 1,547 9,915 1,547
-------- ------- -------- --------
Total costs and expenses 96,952 78,559 340,199 264,511
-------- ------- -------- --------
Income (loss) from operations (13,928) 4,794 (29,575) 3,582
Other income (expense), net 650 70 669 (37)
Write-off of investment -- -- (5,000) --
Interest income, net 878 1,110 4,799 4,207
-------- -------- -------- --------
Income (loss) before provision for (benefit from)
income taxes (12,400) 5,974 (29,107) 7,752
Provision for (benefit from) income taxes (3,720) 1,411 (8,732) 2,324
-------- ------- -------- --------
Net income (loss) $ (8,680) $ 4,563 $(20,375) $ 5,428
======== ======= ======== ========
Diluted earnings (loss) per share $ (0.28) $ 0.14 $ (0.68) $ 0.18
Weighted average shares outstanding -- diluted 30,572 31,794 29,941 30,785
Basic earnings (loss) per share $ (0.28) $ 0.16 $ (0.68) $ 0.19
Weighted average shares outstanding -- basic 30,572 28,783 29,941 28,221
4
June 30, June 30,
2001 2000
-------- --------
CONSOLIDATED CONDENSED BALANCE SHEET DATA:
Assets
Current assets
Cash, cash equivalents and short-term investments $ 67,638 $113,532
Accounts receivable and unbilled services, net 116,389 103,675
Current portion of long-term installments
receivable, net 31,094 24,873
Deferred tax asset 3,252 3,300
Prepaid expenses and other current assets 17,591 16,175
-------- --------
Total current assets 235,964 261,555
Long-term installments receivable, net 43,428 28,301
Equipment and leasehold improvements, net 43,276 36,093
Computer software development costs, net 8,539 7,026
Intangible assets, net 43,964 8,856
Deferred tax asset 15,686 10,130
Other assets 15,737 12,984
-------- --------
Total assets $406,594 $364,945
======== ========
Liabilities and Stockholders' Equity
Current liabilities
Current portion of long-term debt $ 2,539 $ 1,327
Accounts payable and accrued expenses 63,024 53,392
Unearned revenue 18,711 13,903
Deferred revenue 24,341 23,553
-------- --------
Total current liabilities 108,615 92,175
Long-term debt, less current maturities 88,149 88,173
Deferred revenue, less current portion 8,190 14,374
Other liabilities 635 1,025
Total stockholders' equity 201,005 169,198
-------- --------
Total liabilities and stockholders' equity $406,594 $364,945
======== ========
ASPENTECH is one of our trademarks.
5
SIGNATURE
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 thereunto duly authorized.
ASPEN TECHNOLOGY, INC.
Dated: August 8, 2001 By: /s/ Lisa W. Zappala
-----------------------------------
Lisa W. Zappala
Senior Vice President and
Chief Financial Officer
