UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
Pursuant to Section 13a-16 or 15d-16 of the Securities and Exchange Act of 1934
For the month of August, 2011
JACADA LTD.
(Translation of registrant's name into English)
11 Shenkar Street
Herzliya, 46725 Israel
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
Form 20-F X Form 40-F ___
Indicate by check mark if the Registrant is submitting this Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Yes ____ No X
Indicate by check mark if the Registrant is submitting this Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Yes ____ No X
Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes ____ No X
If "Yes" is marked, indicate below the file number assigned to the Registrant in connection with Rule 12g3-2(b): 82- _N/A_
CONTENTS
This Report on Form 6-K of Jacada consists of the following documents, which are attached hereto and incorporated by reference herein:
Press Release, released publicly on August 16, 2011: Jacada Reports Second Quarter 2011 Results
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report on Form 6-K to be signed on its behalf by the undersigned, thereunto duly authorized.
JACADA LTD. | ||||
|
| By: |
| /s/ CAROLINE CRONIN |
Name: | Caroline Cronin | |||
Title: | Chief Financial Officer | |||
Dated: | August 16, 2011 |
Jacada Reports Second Quarter 2011 Results
ATLANTA--(BUSINESS WIRE)--August 16, 2011--Jacada Ltd. (Nasdaq: JCDA), a leading provider of customer experience management and process optimization solutions, today reported financial results for the second quarter ended June 30, 2011.
Second Quarter Highlights
- Software license revenues were $813,000, a 48% increase over second quarter 2010 software license revenues of $549,000
- Reduced net loss to $1.1 million compared to a net loss of $1.7 million in the second quarter of 2010
- Executed an agreement with a large banking and financial conglomerate in Canada for the license of Jacada’s Workspace products
- Executed an agreement with a telecommunications company providing phone, internet and video services to over 750,000 customers for the license of Jacada’s agent scripting suite of products
“Our total revenues for the second quarter of 2011 were $3.7 million, representing significant growth over the two previous quarters,” commented Tom Clear, co-chief executive officer of Jacada. “Strong software license revenues, the result of signing two new customers during the quarter, contributed to this increase in total revenue. This improvement in revenue, combined with our continued cost controls, allowed us to improve our net loss to $1.1 million during the second quarter of 2011.”
“Jacada has continued to align our products and services with the solution needs of our customers,” said Gideon Hollander, founder and co-chief executive officer of Jacada. “During the second quarter, we introduced Jacada Agent Scripting version 6.0, our call center scripting tool, and executed an agreement for the license of this product with a US based telecommunications company.”
Financial Results
For the second quarter of 2011, total revenues were $3.7 million compared to $4.5 million in the second quarter of 2010. Software revenues for the 2011 second quarter were $813,000 compared to $549,000 during the 2010 second quarter. Services revenues were $2.2 million in the 2011 second quarter and $3.3 million in the 2010 second quarter. Maintenance revenues were $678,000 and $675,000 in the 2011 and 2010 second quarters, respectively.
Gross margins were 42% and 39% of total revenues during the 2011 and 2010 second quarters, respectively. Second quarter 2011 operating expenses of $2.6 million, reflecting the cost containment measures implemented during the third quarter of 2010, were significantly less than second quarter 2010 operating expenses of $3.5 million.
The 2011 second quarter net loss was $1.1 million or ($0.26) per share compared to a net loss of $1.7 million or ($0.41) per share in the second quarter of 2010.
Conference Call Details
Management will hold a conference call to discuss the second quarter 2011 financial results at 10:30am ET on August 16, 2011. To participate in the teleconference, please call toll-free 888-713-4217 or 617-213-4869 for international callers, and provide pass code 45719168 approximately 10 minutes prior to the start time. Interested parties may pre-register for the teleconference via this URL: https://www.theconferencingservice.com/prereg/key.process?key=PH64B9B37. A (live audio) webcast will also be available over the Internet at www.jacada.com (under “About Us” then “Investors”) or www.earnings.com.
A replay of the teleconference will be available for three days beginning at 1:30 p.m. ET on August 16, 2011. To access the replay, dial toll-free 888-286-8010, or for international callers 617-801-6888, and provide pass code 18858758.
About Jacada
Jacada provides solutions that optimize and improve the effectiveness of customer interactions. Jacada unified desktop and process optimization solutions help companies reduce the cost of their operations, drive customer satisfaction and provide a complete return on investment in as little as 12 months after deployment.
Founded in 1990, Jacada operates globally with offices in Atlanta, USA; Herzliya, Israel; London, England; Munich, Germany; and Stockholm, Sweden. More information is available at www.jacada.com, www.jacada.com/blog, www.jacada.com/facebook and www.jacada.com/twitter.
This news release may contain forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. The words "may," "could," "would," "will," "believe," "anticipate," "estimate," "expect," "intend," "plan," and similar expressions or variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of the future performance and involve risks and uncertainties, many of which are beyond the Company's ability to control. Actual results may differ materially from those projected in the forward-looking statements as a result of various factors including the performance and continued acceptance of our products, general economic conditions and other Risk Factors specifically identified in our reports filed with the Securities and Exchange Commission. The Company undertakes no obligation to update or revise any forward-looking statement for events or circumstances after the date on which such statement is made. Jacada is a trademark of Jacada Inc. All other brands or product names are trademarks of their respective owners.
JACADA LTD. AND ITS SUBSIDIARIES | ||||||||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||
(U.S. dollars in thousands, except per share data) | ||||||||||||||||
Three months ended June 30, | Six months ended June 30, | |||||||||||||||
2011 | 2010 | 2011 | 2010 | |||||||||||||
Unaudited | ||||||||||||||||
Revenues: | ||||||||||||||||
Software licenses | $ | 813 | $ | 549 | $ | 1,060 | $ | 1,130 | ||||||||
Services | 2,190 | 3,274 | 4,282 | 7,132 | ||||||||||||
Maintenance | 678 | 675 | 1,335 | 1,205 | ||||||||||||
Total revenues | 3,681 | 4,498 | 6,677 | 9,467 | ||||||||||||
Cost of revenues: | ||||||||||||||||
Software licenses | 12 | 66 | 75 | 132 | ||||||||||||
Services | 1,940 | 2,481 | 4,038 | 5,341 | ||||||||||||
Maintenance | 174 | 199 | 363 | 383 | ||||||||||||
Total cost of revenues | 2,126 | 2,746 | 4,476 | 5,856 | ||||||||||||
Gross profit | 1,555 | 1,752 | 2,201 | 3,611 | ||||||||||||
Operating expenses: | ||||||||||||||||
Research and development | 660 | 924 | 1,336 | 1,820 | ||||||||||||
Sales and marketing | 871 | 1,373 | 1,668 | 2,905 | ||||||||||||
General and administrative | 1,034 | 1,169 | 2,067 | 2,453 | ||||||||||||
Total operating expenses | 2,565 | 3,466 | 5,071 | 7,178 | ||||||||||||
Operating loss | (1,010 | ) | (1,714 | ) | (2,870 | ) | (3,567 | ) | ||||||||
Financial income, net | (73 | ) | 28 | (56 | ) | 49 | ||||||||||
Loss before taxes | (1,083 | ) | (1,686 | ) | (2,926 | ) | (3,518 | ) | ||||||||
Taxes | (2 | ) | (1 | ) | (3 | ) | (1 | ) | ||||||||
Net loss | $ | (1,085 | ) | $ | (1,687 | ) | $ | (2,929 | ) | $ | (3,519 | ) | ||||
Basic and diluted net loss per share | $ | (0.26 | ) | $ | (0.41 | ) | $ | (0.70 | ) | $ | (0.85 | ) | ||||
Weighted average number of shares used in | 4,159,134 | 4,159,134 | 4,159,134 | 4,157,545 | ||||||||||||
JACADA LTD. AND ITS SUBSIDIARIES | ||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||
(U.S. dollars in thousands) | ||||||||
June 30, | December 31, | |||||||
2011 | 2010 | |||||||
Unaudited | Audited | |||||||
ASSETS | ||||||||
CURRENT ASSETS: | ||||||||
Cash and cash equivalents | $ | 5,240 | $ | 5,945 | ||||
Marketable securities | 561 | 1,240 | ||||||
Trade receivables | 3,834 | 4,081 | ||||||
Restricted cash | 497 | 493 | ||||||
Other current assets | 897 | 1,079 | ||||||
Total current assets | 11,029 | 12,838 | ||||||
LONG-TERM INVESTMENTS: | ||||||||
Marketable securities | 10,562 | 10,809 | ||||||
Severance pay fund | 210 | 186 | ||||||
Total long-term investments | 10,772 | 10,995 | ||||||
PROPERTY AND EQUIPMENT, NET | 731 | 856 | ||||||
Total assets | $ | 22,532 | $ | 24,689 | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||
CURRENT LIABILITIES: | ||||||||
Trade payables | $ | 1,543 | $ | 1,566 | ||||
Deferred revenues | 1,120 | 1,076 | ||||||
Accrued expenses and other liabilities | 1,518 | 1,478 | ||||||
Total current liabilities | 4,181 | 4,120 | ||||||
LONG-TERM LIABILITIES: | ||||||||
Accrued severance pay | 405 | 366 | ||||||
Other long-term liabilities | 4 | 44 | ||||||
Total long-term liabilities | 409 | 410 | ||||||
SHAREHOLDERS' EQUITY: | ||||||||
Share capital | 60 | 60 | ||||||
Additional paid-in capital | 75,930 | 75,829 | ||||||
Treasury shares at cost | (17,863 | ) | (17,863 | ) | ||||
Accumulated other comprehensive profit (loss) | 1,098 | 487 | ||||||
Accumulated deficit | (41,283 | ) | (38,354 | ) | ||||
Total shareholders' equity | 17,942 | 20,159 | ||||||
Total liabilities and shareholders' equity | $ | 22,532 | $ | 24,689 | ||||
JACADA LTD. AND ITS SUBSIDIARIES | ||||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||
U.S. dollars in thousands | ||||||||||||
Three months ended June 30, | Six months ended June 30, | |||||||||||
2011 | 2010 | 2011 | 2010 | |||||||||
Unaudited | ||||||||||||
Cash flows from operating activities: |
| |||||||||||
Net loss | (1,085 | ) | (1,687 | ) | (2,929 | ) | (3,519 | ) | ||||
Adjustments required to reconcile net loss to net | ||||||||||||
Depreciation and amortization | 100 | 123 | 211 | 247 | ||||||||
Stock-based compensation related to options |
47 |
117 |
101 | 289 | ||||||||
Increase in restricted cash | (4 | ) | (4 | ) | ||||||||
Accrued interest and amortization of premium on | 20 | 20 | 6 | 127 | ||||||||
Other than temporary loss on marketable securities | 159 | - | 205 | - | ||||||||
Loss (gain) from sales of marketable securities | - | - | - | (9 | ) | |||||||
Increase (decrease) in accrued severance pay, net | 5 | (25 | ) | 16 | (8 | ) | ||||||
Decrease (Increase) in trade receivables, net | (369 | ) | 2,064 | 352 | 38 | |||||||
Decrease in other current assets | 88 | 799 | 161 | 764 | ||||||||
Increase (decrease) in trade payables | 264 | (571 | ) | (39 | ) | (319 | ) | |||||
Increase in deferred revenues | 147 | 300 | 38 | 598 | ||||||||
Increase (decrease) in accrued expenses and other | (51 | ) | (20 | ) | 24 | (181 | ) | |||||
Decrease in other long-term liabilities | (20 | ) | (19 | ) | (40 | ) | (39 | ) | ||||
Other | - | (6 | ) | 15 | 41 | |||||||
Net cash provided by (used in) operating activities | (699 | ) | 1,095 | (1,883 | ) | (1,971 | ) | |||||
Cash flows from investing activities: | ||||||||||||
Investment in available-for-sale marketable | - | - | - | (10,992 | ) | |||||||
Proceeds from sale and redemption of available- | 1,210 | - | 1,210 | 9,727 | ||||||||
Decrease in restricted cash | - | 157 | - | 141 | ||||||||
Proceeds from sale of property and equipment | - | 7 | - | 7 | ||||||||
Purchase of property and equipment | (22 | ) | (143 | ) | (86 | ) | (338 | ) | ||||
Net cash provided by (used in) investing activities. | 1,188 | 21 | 1,124 | (1,455 | ) | |||||||
JACADA LTD. AND ITS SUBSIDIARIES | |||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS (continued) | |||||||||||
U.S. dollars in thousands | |||||||||||
Three months ended June 30, | Six months ended June 30, | ||||||||||
2011 | 2010 | 2011 | 2010 | ||||||||
Unaudited | |||||||||||
Cash flows from financing activities: | |||||||||||
Proceeds from exercise of stock options | - | - | - | 75 | |||||||
Net cash provided by financing activities. | - | 75 | |||||||||
Effect of exchange rate changes on cash | 30 | (77 | ) | 54 | (340 | ) | |||||
Increase (decrease) in cash and cash equivalents | 519 | 1,039 | (705 | ) | (3,691 | ) | |||||
Cash and cash equivalents at the beginning of the | 4,721 | 7,894 | 5,945 | 12,624 | |||||||
Cash and cash equivalents at the end of the period | 5,240 | 8,933 | 5,240 | 8,933 | |||||||
Supplemental Information: Cash and Investments | ||||||
June 30, | December 31, | |||||
2011 | 2010 | |||||
Unaudited | Audited | |||||
Cash and cash equivalents cash: | 5,240 | 5,945 | ||||
Marketable securities | 11,123 | 12,049 | ||||
Restricted cash | 497 | 493 | ||||
Total cash and investments including restricted cash | $ | 16,860 | $ | 18,487 | ||
CONTACT:
Jacada
Caroline Cronin, 770-776-2204
Chief Financial Officer
ccronin@jacada.com