Exhibit 99.1Interactive Intelligence Reports First Quarter Results
Revenues increase 35 percent from 2006 first quarter
INDIANAPOLIS, May 1, 2007 - Interactive Intelligence Inc. (Nasdaq: ININ), a global developer of business communications software, today announced results for its first quarter ended March 31, 2007.
The company reported record total revenues of $24.2 million, a 35 percent increase from $17.9 million in the first quarter of 2006. Net income was $1.7 million, with diluted earnings per share (EPS) of $0.09, up from $1.0 million and $0.06, respectively, in the same quarter last year. Net income includes expense for employee stock options of $668,000 in 2007 and $489,000 in 2006.
Cash and short-term investments as of March 31, 2007 totaled $31.5 million, up from $27.1 million on Dec. 31, 2006. Cash flow from operations for the first quarter of 2007 was $4.9 million, up from $3.3 million in the first quarter of 2006.
“Our revenue growth in the quarter outpaced both the market and each of our primary competitors,” said Dr. Donald E. Brown, Interactive Intelligence CEO. “Sales were solid in all three of our core geographies and our newer offerings gained further momentum by complementing strong sales of our flagship Interaction Center Platform. We continued to invest heavily in development and other areas in order to seize the opportunities we have in the rapidly growing market for IP telephony products.”
On April 23, 2007, the company announced its acquisition of the professional services division of Alliance Systems to better support its growing list of large, blue chip enterprise customers.
“As earlier announced, this will help us continue our initiative to aggressively expand into the high-end contact center and enterprise markets by giving our largest customers access to an even broader pool of qualified and experienced professional services personnel, including access to increased on-site managed resources,” Brown said.
During the quarter Interactive Intelligence received significant recognition in the marketplace with product of the year awards from Call Center Magazine, SearchCRM.com, INTERNET TELEPHONY Magazine, and Customer Inter@ction Solutions Magazine. The company was also awarded Best Large Enterprise Solution at INTERNET TELEPHONY Conference & EXPO held in February.
Interactive Intelligence will host a conference call today, May 1, at 4:30 p.m. EDT, featuring Dr. Brown, and the company’s CFO, Stephen R. Head. There will be a live Q&A session following opening remarks.
To access the teleconference, please dial 1 800.361.0912 at least five minutes prior to the start of the call. Ask for the teleconference by the following name: "Interactive Intelligence first quarter earnings call."
The teleconference will also be broadcast live on Interactive Intelligence’s investor relations' page at http://www.inin.com/investors. An archive of the teleconference will be posted following the call.
About Interactive Intelligence
Interactive Intelligence Inc. (Nasdaq: ININ) is a global provider of business communications software and services for contact center automation and enterprise IP telephony. It was founded in 1994 and has more than 2,500 customers worldwide. Recent awards include the 2006 Network World 200, CRM Magazine’s 2006 Rising Star Excellence Award, Network Computing Magazine’s 2006 Well-Connected Award, and Software Magazine’s 2006 Top 500 Global Software and Services Companies. Interactive Intelligence employs approximately 525 people and is headquartered in Indianapolis, Indiana. Interactive Intelligence has five global corporate offices, with additional sales offices throughout North America, Europe and Asia Pacific. Interactive Intelligence can be reached at +1 317.872.3000 or info@inin.com; on the Net: http://www.inin.com.
This release contains certain forward-looking statements that involve a number of risks and uncertainties. Among the factors that could cause actual results to differ materially are the following: rapid technological changes in the industry; the company's ability to maintain profitability, to manage successfully its growth and increasingly complex third party relationships, to maintain successful relationships with its current and any new resellers, to maintain and improve its current products and to develop new products and to protect its proprietary rights adequately; and other factors described in the company's SEC filings, including the company's latest annual report on Form 10-K.
Interactive Intelligence, Inc. is the owner of the marks INTERACTIVE INTELLIGENCE, its associated LOGO and numerous other marks. All other trademarks mentioned in this document are the property of their respective owners.
Contacts:
Stephen R. Head
Chief Financial Officer
Interactive Intelligence, Inc.
+1 317.715.8412
steve.head@inin.com
Christine Holley
Director, Market Communications
Interactive Intelligence, Inc.
+1 317.715.8220
christine.holley@inin.com
Interactive Intelligence, Inc. |
Condensed Consolidated Balance Sheets |
(in thousands) |
| | | | | | |
| | | March 31, | | December 31, | |
| | | 2007 | | 2006 | |
| | | (unaudited) | | | |
Assets | | | | | |
| Current assets: | | | | | |
| Cash and cash equivalents | | $ | 22,516 | | $ | 13,531 | |
| Short-term investments | | | 8,997 | | | 13,555 | |
| Accounts receivable, net | | | 18,578 | | | 21,370 | |
| Deferred tax assets, net | | | 1,314 | | | 1,314 | |
| Prepaid expenses | | | 5,645 | | | 5,358 | |
| Other current assets | | | 2,336 | | | 1,818 | |
| Total current assets | | | 59,386 | | | 56,946 | |
| Property and equipment, net | | | 6,204 | | | 5,469 | |
| Deferred tax assets, net | | | 3,686 | | | 3,686 | |
| Other assets, net | | | 663 | | | 674 | |
| Total assets | | $ | 69,939 | | $ | 66,775 | |
| | | | | | | | |
Liabilities and Shareholders' Equity | | | | | | | |
| Current liabilities: | | | | | | | |
| Accounts payable and accrued liabilities | | $ | 7,987 | | $ | 7,885 | |
| Accrued compensation and related expenses | | | 2,892 | | | 3,825 | |
| Deferred product revenues | | | 5,565 | | | 5,910 | |
| Deferred services revenues | | | 26,157 | | | 24,877 | |
| Total current liabilities | | | 42,601 | | | 42,497 | |
| | | | | | | | |
| Shareholders' equity: | | | | | | | |
| Preferred stock | | | -- | | | -- | |
| Common stock | | | 173 | | | 171 | |
| Additional paid-in-capital | | | 73,918 | | | 72,528 | |
| Accumulated deficit | | | (46,753 | ) | | (48,421 | ) |
| Total shareholders' equity | | | 27,338 | | | 24,278 | |
| Total liabilities and shareholders' equity | | $ | 69,939 | | $ | 66,775 | |
| | | | | | | | |
| Note: | | | | | | | |
| (A) December 31, 2006 amounts derived from the audited Consolidated Balance Sheet included in the 2006 Annual Report on Form 10-K of Interactive Intelligence, Inc. | | | | | | | |
