EXHIBIT 99.1
FOR IMMEDIATE RELEASE
Financial Information Press Contact:
Vincent C. Klinges
Chief Financial Officer
Logility, Inc.
(404) 264-5477
Logility Reports First Quarter of Fiscal Year 2004 Results
Atlanta, GA. (August 20, 2003) -- Logility, Inc. (NASDAQ: LGTY), a leading
supplier of collaborative solutions to optimize the supply chain, today
announced financial results for the first quarter of fiscal year 2004.
The first quarter total revenues were $5.4 million, with software license
fees of $1.1 million, compared to $1.7 million in the same period last year.
Services and other revenues were $1.5 million, compared to $1.4 million in the
same period last year. Maintenance revenues were $2.8 million, compared to $2.7
million in the same period last year. For the first quarter, the Company
reported operating income of $324,000 compared to an operating loss of $279,000
for the same period last year and net income of $370,000 or earnings per share
(diluted) of $0.03, compared to a net loss of $91,000 or loss per share of $0.01
for the same period in the prior year.
The overall financial condition of the Company remains strong with
cash and investments of approximately $26.5 million and no debt. The
Company's cash and investment position increased approximately $3.1
million compared to the quarter ended July 31, 2002.
"We are pleased with Logility's continued profitability given the general
market conditions and global economic uncertainty that continue to impact
capital expenditures and extend sales cycles," said J. Michael Edenfield,
Logility President and Chief Executive Officer. "Our industry-
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leading products, deep domain expertise, and strong customer base, on top of our
continued financial strength provide a solid platform upon which Logility will
continue to deliver innovation and value for our customers."
Highlights for the first quarter of fiscal year 2004 include:
Customers
o Notable new and existing customers placing orders with Logility in
the first quarter of fiscal year 2004 include: Alberto-Culver
Company, Katun, SSA Global Technologies, and a leading manufacturer
of branded apparel.
o Logility announced Bell(R) Sports, the world's leading designer and
marketer of helmets and accessories for bicycling and other active
sports, has selected Logility Voyager Global Sourcing Management(TM)
to streamline and manage the global design and production of its
branded helmets, cycling accessories and fitness products. A
long-time Logility customer, Bell Sports received a "Logility
Leadership Award" for supply chain excellence in its use of Logility
Voyager Solutions to reduce inventory by 25.9%, slash retail
out-of-stocks by 234%, and increase sales by 20% through improved
forecast accuracy and collaborative planning with customers and
suppliers.
o Logility announced that Facet Technologies, a division of Matria
Healthcare and innovative provider of medical devices for the
healthcare industry, has selected Logility as its partner in driving
supply chain management improvements.
o Saks Incorporated, widely regarded for its superior customer service
and effective store replenishment strategy, was presented the "John
Hewson Sailing to New Heights with Logility" award for supply chain
excellence powered by Logility solutions. Saks' deployment of
Logility Voyager Demand Planning and Inventory Planning solutions
enabled it to achieve immediate benefits as well as ongoing,
continuous improvements in service levels, inventory turns and
forecast accuracy for replenishment items.
o Logility announced the fifth annual Logility Leadership Award
winners recognizing a select group of customers who have
significantly improved their business operations through the
deployment of Logility Voyager Solutions(TM). The 2003 Logility
Leadership Award was presented to the following companies: Bell
Sports, ConAgra Foods Grocery Foods Group, xpedx and a leading
global pharmaceutical company.
o Several Logility customers received recent industry honors. More
than 25 percent of "The Most Influential Consumer Goods Executives"
cited by Consumer
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Goods Technology Magazine are Logility customers. Separately,
BusinessWeek named three Logility clients, Coach, Columbia
Sportswear and Donaldson, to its list of "2003 Hot Growth
Companies."
Products and Technology
o Voyager Solutions release 7.0 was unveiled at Connections 2003, the
company's annual user group conference, providing a preview of its
web-based collaborative supply chain optimization solutions. The new
release focuses on streamlining and accelerating the collaborative supply
chain between internal partners such as marketing, sales, finance,
manufacturing, warehouse management and logistics as well as external
trading partners such as customers, suppliers and carriers. The Logility
Voyager Solutions 7.0 suite helps companies take a performance-driven view
of the supply chain to reduce costs, optimize inventory investments,
increase sales and improve customer service through innovative demand
management, optimized supply chain planning, streamlined warehouse and
transportation management and real-time visibility of global orders,
inventories and key performance indicators across the supply chain.
o Logility announced that its Logility Voyager Solutions are fast becoming
the preferred choice for companies who are brand owners of softgoods
products, including seasonally-influenced consumer items such as apparel,
footwear, furnishings, accessories and textiles. The company estimates
that softgoods manufacturers and distributors are using Logility products
to plan and optimize inventory representing more than $20 billion in
annual revenue.
o Logility announced its repeat selection for three honors - one of
Georgia's 100 Top-Performing Companies (published by the Atlanta
Journal-Constitution), one of MSI Magazine's Top 100 Software Vendors, and
one of Inbound Logistics Magazine's Top 100 Logistics IT companies.
About Logility
Logility is a leading supplier of collaborative supply chain solutions.
Logility Voyager Solutions enable networks of trading partners including
suppliers, manufacturers, distributors and retailers to collaborate, integrate
and synchronize their planning, production, warehouse and transportation
operations. Logility customers have realized substantial bottom-line results in
record time. Logility is proud to serve such customers as ConAgra, Continental
Tire North America, Huhtamaki UK, McCormick & Company, Mill's Pride,
Pernod-Ricard, Sigma Aldrich, VF Corporation and xpedx. Logility
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is a majority owned subsidiary of American Software (NASDAQ: AMSWA). For more
information about Logility call 1-800-762-5207 or visit www.logility.com.
Forward Looking Statements
This press release contains forward-looking statements that are subject to
substantial risks and uncertainties. There are a number of factors that could
cause actual results to differ materially from those anticipated by statements
made herein. These factors include, but are not limited to, changes in general
economic conditions, technology and the market for the Company's products and
services including economic conditions within the e-commerce markets; the timely
availability and market acceptance of these products and services; the effect of
competitive products and pricing; the uncertainty of the viability and
effectiveness of strategic alliances; and the irregular pattern of the Company's
revenues. For further information about risks the Company could experience as
well as other information, please refer to the Company's Form 10-K for the year
ended April 30, 2003 and other reports and documents subsequently filed with the
Securities and Exchange Commission. For more information about risks the Company
could face as well as other information, contact Vincent C. Klinges, Chief
Financial Officer, Logility, Inc., 470 East Paces Ferry Rd., Atlanta, GA 30305,
(404) 261-9777. FAX: (404) 264-5206 INTERNET: www.logility.com or E-mail:
askLogility@logility.com.
Logility Voyager Solutions is a trademark of Logility. Other products mentioned
in this document are registered, trademarked or service marked by their
respective owners.
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LOGILITY, INC.
Statements of Operations
(In thousands, except per share data)
(Unaudited)
First Quarter Ended
-----------------------------
July 31,
Pct
2003 2002 Chg.
------- ------- -------
Revenues:
License $ 1,111 $ 1,738 (36%)
Services & other 1,454 1,381 5%
Maintenance 2,797 2,702 4%
------- ------- -------
Total Revenues 5,362 5,821 (8%)
------- ------- -------
Cost of Revenues:
License 956 979 (2%)
Services & other 700 1,187 (41%)
Maintenance 443 451 (2%)
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Total Cost of Revenues 2,099 2,617 (20%)
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Gross Margin 3,263 3,204 2%
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Operating expenses:
Research and development 1,365 1,415 (4%)
Less: capitalized development (802) (768) 4%
Sales and marketing 1,621 2,054 (21%)
General and administrative 755 782 (3%)
------- ------- -------
Total operating expenses 2,939 3,483 (16%)
------- ------- -------
Operating income/(loss) 324 (279) --
------- ------- -------
Other income 46 188 (76%)
------- ------- -------
Income/(loss) before income taxes 370 (91) --
Income taxes -- -- --
------- ------- -------
Net Income/(loss) $ 370 $ (91) --
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Earnings/(loss) per common share - Basic $ 0.03 $ (0.01) --
======= ======= =======
Earnings/(loss) per common share - Diluted $ 0.03 $ (0.01) --
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Weighted average common shares
Basic 13,134 13,212
Diluted 13,319 13,212
Balance Sheet Information
(in thousands)
(Unaudited)
July 31,
--------------------
2003 2002
------- -------
Cash and Short & Long term investments $26,543 $23,456
Accounts Receivable:
Billed 3,654 2,998
Unbilled 1,977 1,647
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Total Accounts Receivable, net 5,631 4,645
Prepaids & Other 338 1,480
Other Assets 8,102 9,236
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Total Assets $40,614 $38,817
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Accounts Payable $ 108 $ 20
Other Current Liabilites 3,714 5,358
Deferred Revenues 5,707 4,790
Shareholders' Equity 31,085 28,649
------- -------
Total Liabilities & Shareholders' Equity $40,614 $38,817
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