EXHIBIT 99.1
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[LOGO - BROKAT TECHNOLOGIES]
BROKAT CONTACT MEDIA: BROKAT CONTACT
Eric Odell FINANCIAL:
Brokat Silke Simon
503-533-3571 Brokat
eric.odell@brokat.com 408-535-1813
FOR IMMEDIATE RELEASE
Brokat Reports Record Revenues for the Fourth Quarter and Fiscal 2000
YEAR-OVER-YEAR REVENUE INCREASE OF 148 PERCENT
SIGNIFICANT STRENGTHENING OF MARKET PRESENCE WITH ACQUISITIONS IN THE U.S.
SAN JOSE, Calif., February 21, 2001: Brokat Technologies (Nasdaq: BROA, Neuer
Mrkt: BRJ), a global leader in software that enables user-centric business,
today announced revenues of 119.6 million Euro during its fiscal year 2000 ended
December 31, 2000, compared to 48.1 million Euro in the previous calendar year.
This represents an increase of 148 percent. Gross profit increased by 137
percent from 25.7 million Euro to 60.9 million Euro. Pro-forma results
(EBITDASO, Earnings before Tax, Interest, Depreciation and Stock Options) during
the past fiscal year amounted to (53.5) million Euro, compared to (14.7) million
Euro in the previous calendar year, or (1.81) Euro per share. These results
reflect the investments for the integration of the two U.S. software companies
Blaze Software and GemStone Systems, and the implementation of the company's
comprehensive marketing activities related to its Mobile Business Strategy.
Brokat reported a total net loss of (125.9) million Euro, or (4.26)
Euro per share. This includes non-cash expenses of 6.8 million Euro from the
employee stock option compensation program and 49.0 million Euro from
depreciation including its recent U. S. acquisitions of Blaze Software and
GemStone Systems. Brokat changed its fiscal year-end in 1999 from June 30 to
December 31, and therefore had a six-month fiscal year in 1999. Brokat is
comparing the results of its full fiscal year ended December 31, 2000 to an
unaudited calendar year 1999 to better reflect the year-over-year development of
its results.
"During the past fiscal year, we successfully extended our strategy
into new markets," said Stefan Rover, Chief Executive Officer of Brokat AG. "For
this purpose, we completed key acquisitions and made other important
investments," Rover added.
Business in the United States and elsewhere outside of Germany has
remained one of the key growth drivers for Brokat. The international
contribution to total revenues was 65
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percent during the past year, of which 23 percent was generated in the U.S.
Sales from software licenses increased by 201 percent to 53.4 million Euro
during the past year. Business from Brokat's partners yielded revenues of 28.3
million Euro in 2000, an increase of 90 percent over the previous year.
FOURTH QUARTER 2000
During the fourth quarter of fiscal year 2000, Brokat increased its
revenues to 48.7 million Euro, up from 14.3 million Euro in the comparable
period of the previous year. This corresponds to a revenue increase of 241
percent. Gross profit increased to 23.9 million Euro. Pro-forma results
(EBITDASO) for the fourth quarter 2000 amounts to (33.2) million Euro. The
investments for the integration of software companies GemStone Systems and Blaze
Software, acquired in August and September 2000, respectively, contributed to
the company's fourth quarter results. While the costs for the integration
efforts were incurred in the fourth quarter, the result of adding these
companies should be beneficial to Brokat's future sales efforts.
STRENGTHENED U.S. MARKET PRESENCE
The fiscal year 2000 was marked by the successful evolution of Brokat
into a global software provider. The company significantly strengthened its
global footprint, particularly in the U.S., through the acquisitions of Blaze
Software and GemStone. Both companies provided key technological components that
enhance Brokat's technology. Blaze developed software to enable the easy
modification of rules for personalized business processes and GemStone operated
as a leading provider of Java-based software for business-to-business
transactions. As a result of the Blaze acquisition, Brokat listed on the Nasdaq
on October 2, 2000.
OTHER FINANCIAL INFORMATION
In spring 2000, Brokat issued a high-yield bond of 125 million Euro.
The bond that is listed on the Luxembourg stock exchange is rated by Moody's
(B2) and Standard & Poor's (B) and received a B rating from Fitch IBCA.
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STRENGTHENING OF GLOBAL CUSTOMER AND PARTNER BASES
During fiscal year 2000, Brokat AG strengthened its customer base with
significant customer wins including the following: Riyadh Bank of Saudi-Arabia,
Emirates Bank Group of Dubai, Sanwa Bank California, Rosbank of Moscow,
Landesbank Baden-Wurttemberg (LBBW) of Stuttgart, WestLB of Dusseldorf,
SE-Banken of Sweden, the National Bank and National Savings Bank of Luxembourg,
Cable & Wireless of Hong Kong, and Asian financial service provider, 2cube.com,
a joint venture between Cable & Wireless HKT and Jardine Fleming, a leading
financial service provider in the region.
In the fourth quarter, T-Motion, a Deutsche Telekom company, also
became a Brokat customer. T-Motion is working with Brokat to jointly implement a
comprehensive Mobile Payment solution. This global customer base underscores the
success of Brokat's corporate strategy with a clear focus on consistent
international growth. Additionally, Brokat established new partnerships with
companies such as Compaq Computer Corporation, Nokia, Vignette, and Nortel
Networks.
EXTENDING STRATEGY INTO USER-CENTRIC BUSINESS
Leveraging its current success in e-business, Brokat is focused on
extending its strategy into new markets and target audiences. Brokat's vision is
to provide software products that would enable organizations across industries
to implement user-centric business services that make information and
transactions available to users at any time in any place.
CONSOLIDATED STATEMENT OF OPERATIONS FISCAL YEAR 2000
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IN MILLION EURO, 1999 2000 CHANGE CHANGE YOY
EXCEPT PER SHARE AMOUNTS AND YOY PERCENTAGE
PERCENTAGES ABSO-
LUTE
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Total revenues 48.1 119.6 71.4 148%
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Pro-forma results (14.7) (53.5) (38.8) -262%
(EBITDASO)
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Net Loss (39.3) (125.9) (86.6) -220%
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Pro-forma EPS (0.57) (1.81)
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EPS (1.52) (4.26)
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* Calendar year 1999 unaudited
CONSOLIDATED STATEMENT OF OPERATIONS Q4/2000
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IN MILLION EURO, Q4/1999 Q4/2000 CHANGE CHANGE
EXCEPT PER SHARE AMOUNTS YOY YOY
AND PERCENTAGES ABSOLUTE PERCENTAGE
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Total revenues 14.3 48.7 34.4 241%
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Pro-forma results (EBITDASO) (6.7) (33.2) (26.3) -393%
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Net Loss (18.8) (57.8) (39.0) -207%
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Pro-forma EPS (0.25) (0.93)
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EPS (0.71) (1.62)
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CONFERENCE CALL
Brokat will hold a conference call for investors and analysts on February 21,
2001 at 11:00 p.m. EST (5:00 a.m. CET). Participants will be Stefan Rover, CEO
and Michael Janssen, CFO.
Dial-in: US: +1-800 55 32 173 (48 h-recording: +1-800 62 55 288, code:93 12 68)
Dial-in: Europe: +49 (0) 60 74 - 86 43 (48 h-recording: +49 (0) 60 74 -86 44 97)
ABOUT BROKAT
Brokat Technologies (Nasdaq: BROA, Neuer Markt: BRJ) is a global leader in
software that enables user-centric business. Brokat's product families - -
multi-channel infrastructure software, rules management and personalization
technology, mobile payment software, and e-finance applications - are used by
over 3,500 enterprises worldwide including ABN Amro, Allianz, Bank of America,
Blue Martini Software, Charter One, DaimlerChrysler, DBS Bank, Fidelity
Investments, IBM Corporation, MasterCard International, Sun Microsystems,
SE-Banken, Swiss Post Office, T-Motion (a subsidiary of Deutsche Telekom) and
Toyota.
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Strategic partners, among others, include Compaq, Intel, IBM, Siemens and Sun
Microsystems. With dual headquarters in San Jose, California and Stuttgart,
Germany, Brokat employs over 1,400 people in 17 countries. Information on Brokat
and its products is available at WWW.BROKAT.COM.
This press release contains "forward-looking statements" within the meaning of
the U.S. Private Securities Litigation Reform Act of 1995, such as statements
relating to future financial results, market growth and plans for business
development activities. These forward-looking statements are subject to risks,
uncertainties and other factors that could cause actual results to differ
materially from future results expressed or implied by such forward-looking
statements. Potential risks and uncertainties include, but are not limited to,
general economic conditions, competition in the wireless and software
industries, the company's ability to manage its growth effectively, the
company's ability to implement its acquisition strategy and to integrate
acquired companies, fluctuations in quarterly operating results, the company's
history of operating losses and its cash position, and other risks and
uncertainties. Additional information on these and other risks and uncertainties
related to the forward-looking statements is included in the "Risk
Factors--Risks Relating to Brokat's Business" section of Brokat's registration
statement (No. 333-45430) on Form F-4 and its Forms 6-K on file with the U.S.
Securities and Exchange Commission, and its Form 20-F for the 2000 fiscal year
to be filed with the SEC. The forward-looking statements in this press release
are based on management's reasonable beliefs as of the date of this release, and
Brokat assumes no obligation to update them to reflect subsequent information or
events. Reported results should not be considered as an indication of future
performance.
BROKAT, BROKAT TECHNOLOGIES, BROKAT ADVISOR AND BROKAT PAYMENTWORKS ARE
TRADEMARKS OF BROKAT AG OR ITS SUBSIDIARIES IN THE UNITED STATES AND OTHER
COUNTRIES. OTHER NAMES ARE TRADEMARKS OR REGISTERED TRADEMARKS OF THEIR
RESPECTIVE COMPANIES.