CIMdata PLM Industry Summary Online Archive
31 July 2008
Financial News
Aspen Technology Announces Selected Preliminary Financial Results for the Fourth Quarter and Fiscal Year 2008
Aspen Technology, Inc. announced selected preliminary financial results for the fourth quarter and fiscal year 2008 ended June 30, 2008.
Mark Fusco, Chief Executive Officer of AspenTech, said “The fourth quarter was a strong finish to a record fiscal 2008 performance. License bookings of approximately $70 million in the fourth quarter finished a year in which the company grew license bookings over 15% compared to fiscal 2007. For the quarter and the fiscal year, the company’s performance was well-balanced across product lines, vertical markets, geographies and deals of all sizes. We continue to be optimistic about the company’s long-term fundamental outlook based on our industry leading domain expertise, unique suite of aspenONE solutions and solid demand in our core markets.”
The Company’s cash balance at the end of the fourth quarter was approximately $135 million, as compared to approximately $136 million at the end of the third quarter and approximately $133 million at the end of fiscal 2007. Cash balances did not grow in proportion to operating profitability because the Company continued with its plan to decrease the sale of installments receivable for cash. During fiscal 2008, the Company sold approximately $90 million less of installments receivable as compared to fiscal 2007, contributing to an increase of over $140 million in the Company’s installments and accounts receivable balances. In addition, the Company used positive cash flows from operations to reduce its secured borrowing balance by over $50 million.
Brad Miller, Chief Financial Officer of AspenTech, said “We ended fiscal 2008 with a strong financial position. We continued to generate substantial cash flows from operations during fiscal 2008, and we expect the growth in installments receivables and continued paydown of the secured borrowings balance to ultimately result in increased net interest income and future cash flows.”
Conference Call and Webcast
AspenTech will host a conference call and webcast today, July 31, 2008, at 8:30 am (Eastern Time) to discuss the Company's selected preliminary financial results, business outlook, and related corporate and financial matters. The live dial-in number is (877) 239-3024, conference ID code 56704245. Interested parties may also listen to a live webcast of the call by logging on to the Investor Relations section of AspenTech’s website, http://www.aspentech.com/corporate/investor.cfm, and clicking on the “webcast” link. A replay of the call will be archived on AspenTech’s website and will also be available via telephone at (800) 642-1687 or (706) 645-9291, conference ID code 56704245 through August 6, 2008.
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