Micros Systems (MCRS) 8-K Micros Reports Fiscal 2011 Results

EXHIBIT 99

News
Release Date: August 25, 2011	Contact:	Peter J. Rogers, Jr.
		Executive Vice President, Investor Relations
		443-285-8059 progers@micros.com

MICROS REPORTS FISCAL 2011 RESULTS

RECORD REVENUE, OPERATING INCOME, NET INCOME AND EPS:

REVENUE, NET INCOME AND EPS EXCEED EXPECTATIONS

Columbia, Maryland ... MICROS Systems, Inc. (Nasdaq:MCRS), a leading supplier of information systems to the hospitality and retail industries, today announced the results for its fiscal 2011 fourth quarter and fiscal year ending June 30, 2011.  

FINANCIAL HIGHLIGHTS

- Revenue for the fiscal 2011 fourth quarter was $274.1 million, an increase of $25.9 million, or 10.4% over the same period last year.

- Revenue for the fiscal year was $1,007.9 million, an increase of $93.5 million, or 10.2%, over the same period last year.

- GAAP net income for the quarter was $41.5 million, an increase of $7.7 million, or 22.6% over the same period last year.

- GAAP net income for the fiscal year was $144.1 million, an increase of $29.7 million, or 26.0%, over the same period last year.

- GAAP diluted earnings per share (EPS) for the quarter was $0.50, an increase of $0.08, or 19%, over the same period last year.

- GAAP diluted EPS for the fiscal year was $1.74, an increase of $0.33, or 23.4%, over the same period last year.

During the fourth quarter, we recorded an impairment charge of $4.2 million related to our investments in auction rate securities.

- Non-GAAP financial results, excluding the effect of charges for stock options, the investment impairment, and a charge for a lawsuit incurred in the second fiscal quarter, are as follows:

·   Non-GAAP net income for the quarter was $47.7 million, an increase of $8.0 million, or 20%, over the same period last year.

·   Non-GAAP net income for the fiscal year was $158.4 million, an increase of $31.2 million, or 24.5%, over the same period last year.

·   Non-GAAP diluted EPS for the quarter was $0.58, an increase of $0.09, or 18.4%, over the same period last year.

·   Non-GAAP diluted EPS for the fiscal year $1.92, an increase of $0.35, or 22.3%, over the same period last year.

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The financial results for the fourth fiscal quarter exceeded consensus expectations. The revenue, operating income, net income and EPS for the quarter and fiscal year were records for MICROS.

Tom Giannopoulos, MICROS’s Chairman and CEO, stated, “We are very pleased with our excellent results, in which for the first time in our history we exceeded the $1 Billion annual sales milestone, and achieved record revenue, operating income, net income and EPS for both the quarter and the fiscal year.  Our strong and expanding portfolio of products and services provides us with a great foundation for continued profitable growth.”

MICROS’s financial guidance for fiscal 2012 is for revenue of $1,111,000 and Non-GAAP EPS of $2.09.

MICROS’s stock is traded through NASDAQ under the symbol MCRS.  Some of the statements contained herein not based on historic facts are forward-looking statements that involve risks and uncertainties.  MICROS is subject to, among others, the following uncertainties and risks: product demand and market acceptance; impact of competitive products and pricing on margins; product development delays and technological difficulties; controlling expenses as MICROS continues to expand; the ability to obtain on acceptable terms the right to incorporate in MICROS’s products and services technology patented by others; the risk that there are actual or perceived security vulnerabilities in MICROS’s products; adverse results in legal disputes resulting in liabilities that exceed reserves; unanticipated tax liabilities; the effects of terrorist activity and armed conflict; the effects of major environmental disasters; weakening in general economic conditions that adversely affect demand for computer hardware or software; and currency fluctuations.

All information in this release is as of August 25, 2011.  MICROS undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in MICROS’s expectations.

For further information regarding risks and uncertainties associated with MICROS’s business, please refer to the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Business and Investment Risks” sections of MICROS’s SEC filings, including, but not limited to, its annual report on Form 10-K and quarterly reports on Form 10-Q, copies of which may be obtained by contacting MICROS’s investor relations department at 443-285-8059 or at MICROS’s website at http://www.micros.com.

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News
Release Date: August 25, 2011	Contact:	Peter J. Rogers, Jr. EVP Investor Relations 443-285-8059

MICROS SYSTEMS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited - in thousands, except per share amounts)

	Three Months Ended						Fiscal Year Ended
	June 30,						June 30,
	2011			2010			2011			2010
Revenue:
Hardware	$	56,995		$	52,027		$	199,003		$	188,333
Software		35,080			34,072			127,123			118,788
Service		182,060			162,118			681,733			607,198
Total revenue		274,135			248,217			1,007,859			914,319
Cost of sales:
Hardware		33,532			31,074			126,667			119,489
Software		5,166			7,197			21,200			25,731
Service		80,519			73,548			299,818			267,481
Stock option expense		18			32			105			137
Total cost of sales		119,235			111,851			447,790			412,838
Gross margin		154,900			136,366			560,069			501,481
Selling, general and administrative expenses		69,948			66,755			272,229			262,251
Research and development expenses		12,131			10,947			45,248			41,718
Depreciation and amortization		4,880			4,476			16,790			17,311
Litigation reserve		-			-			3,000			-
Stock option expense		2,908			2,529			12,343			12,228
Total operating expenses		89,867			84,707			349,610			333,508
Income from operations		65,033			51,659			210,459			167,973
Non-operating income (expense):
Interest income, net		1,558			1,094			5,023			3,817
Interest expense - litigation reserve		-			-			(360	)		-
Change in credit based impairment, net of realized gain on redemption		(4,236	)		(4,396	)		(4,217	)		(4,783	)
Other non-operating (expense) income, net		(561	)		1,028			(1,293	)		1,118
Total non-operating income, net		(3,239	)		(2,274	)		(847	)		152
Income before taxes		61,794			49,385			209,612			168,125
Income tax provision		20,233			15,152			64,999			52,745
Net income		41,561			34,233			144,613			115,380
Less:  Net income attributable to noncontrolling interest		(25	)		(353	)		(554	)		(1,027	)
Net Income attributable to MICROS Systems, Inc. (GAAP)	$	41,536		$	33,880		$	144,059		$	114,353
Net Income per diluted common share attributable to MICROS Systems, Inc.	$	0.50		$	0.42		$	1.74		$	1.41
Weighted-average number of shares outstanding - diluted		82,952			81,871			82,672			81,448

Reconciliation of GAAP Net Income and EPS attributable to MICROS Systems, Inc. to Non-GAAP Net Income and EPS attributable to MICROS Systems, Inc.
Net Income attributable to MICROS Systems, Inc.	$	41,536	$	33,880	$	144,059	$	114,353
Add back:
Stock option expense
Selling, general and administrative expenses		2,680		2,417		11,747		11,717
Research and development expenses		228		112		596		511
Cost of sales		18		32		105		137
		2,926		2,561		12,448		12,365
Litigation reserve, including accrued interest expense		-		-		3,360		-
Credit based impairment charge, net of realized gain on redemption		4,236		4,396		4,217		4,783
Total add back		7,162		6,957		20,025		17,148
Subtract tax effect on:
Stock option expense		969		1,061		4,426		4,283
Litigation reserve, including accrued interest expense		-		-		1,280		-
Non-GAAP Net Income attributable to MICROS Systems, Inc.	$	47,729	$	39,776	$	158,378	$	127,218
Non-GAAP Net Income per Diluted Common Share attributable to MICROS Systems, Inc.	$	0.58	$	0.49	$	1.92	$	1.57

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We believe the inclusion of the above non-GAAP measure will be useful to investors because it will enhance the comparability of our current period results to prior periods' results without comparable charges.  We also believe inclusion of this measure will enhance comparability of our results to results of our competitors and to the analysts’ forecasts because the analysts typically forecast excluding the effect of share-based payment charge and above one time charges, the non-GAAP measure.  In addition, our management uses this measure to evaluate our operating performance and compare our results to our competitors.  Management also uses this measure as a metric to measure performance under our executive compensation program.

The Company notes that non-GAAP financial measures are not based on a comprehensive set of accounting rules or principles.  Instead, they are based on subjective determinations by management designed to supplement our GAAP financial measures.  They are subject to a number of important limitations and should be considered only in conjunction with our consolidated financial statements prepared in accordance with GAAP.  Among the limitations on the use of the non-GAAP measure are the following:

-  The exclusion of non-GAAP items can have a significant impact on reported GAAP net income and diluted net income per share.

-  Other companies may calculate non-GAAP net income and non-GAAP net income per share differently than MICROS does, limiting the usefulness of those measures for comparative purposes.

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News
Release Date: August 25, 2011	Contact:	Peter J. Rogers, Jr. EVP Investor Relations 443-285-8059

MICROS SYSTEMS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited - in thousands)

	June 30, 2011		June 30, 2010
ASSETS
Current assets:
Cash and cash equivalents and short-term investments	$	780,265	$	545,298
Accounts receivable, net		181,833		153,066
Inventory, net		38,119		35,103
Deferred income taxes		21,036		19,624
Prepaid expenses and other current assets		30,454		27,004
Total current assets		1,051,707		780,095
Long-term investments		46,226		59,884
Property, plant and equipment, net		28,145		27,349
Deferred income taxes, non-current		20,798		13,556
Goodwill		242,319		213,825
Intangible assets, net		19,293		19,590
Purchased and internally developed software costs, net		18,710		17,468
Other assets		5,820		6,524
Total Assets	$	1,433,018	$	1,138,291
LIABILITIES AND EQUITY
Current liabilities:
Bank lines of credit	$	-	$	1,442
Accounts payable		54,851		44,783
Accrued expenses and other current liabilities		148,901		135,469
Income taxes payable		7,705		5,856
Deferred revenue		143,238		124,498
Total current liabilities		354,695		312,048
Income taxes payable, non-current		32,309		22,737
Deferred income taxes, non-current		8,261		2,590
Other non-current liabilities		14,502		11,304
Total liabilities		409,767		348,679
Commitments and contingencies
Equity:
MICROS Systems, Inc. shareholders’ equity:
Common stock		2,020		2,001
Capital in excess of par		132,529		117,462
Retained earnings		833,839		689,750
Accumulated other comprehensive income (loss)		48,323		(25,833	)
Total MICROS Systems, Inc. shareholders’ equity		1,016,711		783,380
Noncontrolling interest		6,540		6,232
Total Equity		1,023,251		789,612
Total Liabilities and Equity	$	1,433,018	$	1,138,291

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