Art Technology (ARTG) 8-K Regulation FD Disclosure

ART TECHNOLOGY GROUP, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data)
(UNAUDITED)

	Three months ended											Twelve months ended
	March 31,			June 30,			September 30,			December 31,		December 31,
	2007			2007			2007			2007		2007
Revenue:
Product licenses	$	6,609		$	6,515		$	7,873		$	9,532	$	30,529
Recurring services		17,470			18,519			19,346			21,337		76,672
Professional & educational services		5,153			7,582			8,667			8,457		29,859
Total revenue		29,232			32,616			35,886			39,326		137,060
Cost of Revenue:
Product licenses		540			549			557			551		2,197
Recurring services		5,143			5,379			6,165			7,432		24,119
Professional & educational services		5,598			7,171			7,587			8,867		29,223
Total cost of revenue		11,281			13,099			14,309			16,850		55,539
Gross Profit		17,951			19,517			21,577			22,476		81,521
Operating expenses:
Research and development		5,781			6,270			6,632			6,280		24,963
Sales and marketing		9,544			11,773			11,697			11,383		44,397
General and administrative		4,603			4,648			4,489			4,471		18,211
Restructuring charge (benefit)		(68	)		0			9			0		(59	)
Total operating expenses		19,860			22,691			22,827			22,134		87,512
Income (loss) from operations		(1,909	)		(3,174	)		(1,250	)		342		(5,991	)
Interest and other income, net		448			521			575			693		2,237
Income (loss) before provision (benefit) for income taxes		(1,461	)		(2,653	)		(675	)		1,035		(3,754	)
(Benefit) provision for income taxes		0			95			85			253		433
Net income (loss)	$	(1,461	)	$	(2,748	)	$	(760	)	$	782	$	(4,187	)
Net income (loss) per weighted average share:
Basic	$	(0.01	)	$	(0.02	)	$	(0.01	)	$	0.01	$	(0.03	)
Diluted	$	(0.01	)	$	(0.02	)	$	(0.01	)	$	0.01	$	(0.03	)
Shares used in per share calculations:
Basic		127,194			127,388			127,461			128,056		127,528
Diluted		127,194			127,388			127,461			135,290		127,528