CIMdata PLM Industry Summary Online Archive
12 February 2009
Financial News
Aspen Technology Announces Date of Conference Call to Review Selected Preliminary Financial Results for the Second Quarter Fiscal 2009, Quarterly Filings for the Second and Third Quarters of Fiscal 2008 and Restated Results for the First Quarter Fiscal 2008
Aspen Technology, Inc. announced that the Company will host a conference call on February 19, 2009, with dial-in instructions provided in a separate press release leading up the call. The Company plans to review its selected preliminary financial results for the second quarter of fiscal 2009, Quarterly Reports on Form 10-Q for the second and third quarters of fiscal 2008, and restated Form 10-Q for the first quarter of fiscal 2008, which quarterly reports are expected to be filed with the Securities and Exchange Commission prior to the call.
Company to Restate its Cash Flow Statement and Balance Sheet for the First Quarter Fiscal 2008
Brad Miller, Chief Financial Officer of AspenTech, said “The review process related to the Company’s second and third quarter fiscal 2008 results has taken significantly longer than originally expected primarily as a result of extensive manual testing, including in areas with internal control weaknesses. In the final stage of preparing our required quarterly SEC filings, we discovered errors related to classifications in the cash flow statement of our previously filed first quarter fiscal 2008 results as well as the adjustment we made to the accumulated deficit as of July 1, 2007.”
In restating cash flows for the first quarter of fiscal 2008, the Company currently estimates that repayments of secured borrowings were approximately $7.8 million lower than originally reported, while the repayments were approximately $9.1 million higher than originally reported in the first quarter fiscal 2007. Offsetting adjustments will be reflected in cash flows from operations for both respective quarters. This correction does not impact ending cash balances or any change in total cash flows at the end of any reporting period. The Company also expects to make adjustments to its consolidated statements of cash flows to more appropriately reflect certain non-cash operating activities, which will not have any impact on net cash flows from operations for any period.
The Company also identified an error in adjustments made to the accumulated deficit as of July 1, 2007, when it adopted FASB Interpretation No. 48. The Company had previously recognized an increase of $3.0 million in the liability for unrecognized tax benefits, with an offsetting increase to the accumulated deficit upon adoption. The Company currently believes it is appropriate to reverse this $3.0 million liability and the offsetting increase in accumulated deficit as of July 1, 2007.
A current report on Form 8-K has been filed with the Securities and Exchange Commission relating to the First Quarter of Fiscal 2008. The Company will file an amendment to the First Quarter 10-Q for the three months ended September 30, 2007 that will correct each of the errors identified and discussed above.
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