Exhibit 99.1
Lawson Announces Preliminary First Quarter Results
ST. PAUL, Minn.--(BUSINESS WIRE)--Sept. 15, 2004---
Conference call is Thursday, Sept. 30, 2004 at 4:30 pm ET (3:30 CT)
Lawson Software, Inc. (Nasdaq:LWSN) today announced preliminary first
quarter fiscal 2005 results. The company expects total revenues of approximately
$82 million, including license revenues of approximately $13 million. The
company also expects to report GAAP net loss per share of $0.01 to $0.02 and
non-GAAP earnings per share of break-even to $0.01, adjusting for approximately
$2 million of items consisting primarily of non-cash stock-based compensation,
amortization of acquired software and intangibles and acquired maintenance
contracts, and a deferred tax valuation allowance.
"In our first quarter, Lawson experienced what many other enterprise
software companies have recently announced - lower business activity, longer
customer decision cycles, and contract deferrals," said Coughlan. "Issues
affecting our industry including uncertainty related to the pending decision on
United States of America v. Oracle, the prospect of industry consolidation, and
priorities such as Sarbanes-Oxley impacting customers' capital spending on
software adversely impacted Lawson's software licensing activity as well.
Although I am disappointed in the low level of licensing activity in the
quarter, I am pleased with our ability to manage business expenses aggressively
and lessen the impact on our EPS. In addition, we remain committed to increasing
non-GAAP profitability and operating margin expansion on a full-year basis
compared to fiscal 2004 results. We are focused on continued prudent management
of our business."
Coughlan also commented, "Lawson continues to be a compelling choice for
mid to large size services-oriented organizations' ERP business needs, and our
2,000 customers know Lawson has a strong, competitive standing as one of the key
ERP providers in the marketplace."
Lawson will release its first quarter results Thursday, Sept. 30, 2004,
after the market closes. The company will host a conference call to discuss its
first quarter results and future outlook at 4:30 p.m. Eastern Time (3:30 p.m.
Central Time) Sept. 30, 2004.
Interested parties may listen to the call by dialing 888-603-9617 (passcode
Lawson 930) and international callers 1-517-308-9002. A live webcast will also
be available on www.lawson.com. Interested parties should dial into the
conference call or access the webcast approximately 10-15 minutes before the
scheduled start time.
A replay will be available approximately one hour after the conference call
concludes and will remain available through Friday, Oct. 8. The replay number is
888-568-0403 and international 1-402-530-7940. The webcast will remain on
www.lawson.com for approximately two weeks.
About Lawson Software
Lawson Software provides business application software and services that
put time on the side of services organizations in the healthcare, retail,
government and education, banking and insurance and other markets. Lawson's
software suites include enterprise performance management, distribution,
financials, human resources, procurement, retail operations and service process
optimization. Headquartered in St. Paul, Minn., Lawson has offices and
affiliates serving North and South America, Europe, and Africa. Additional
information about Lawson is available at www.lawson.com.
Non-GAAP Financial Measures
Lawson provides non-GAAP results as supplemental information to GAAP
operating results. These non-GAAP results exclude certain expenses and non-cash
charges such as stock-based compensation, amortization of acquired intangibles,
amortization of acquired maintenance contracts, and a deferred tax asset
valuation allowance. Lawson believes that this presentation facilitates
comparison by investors, analysts, and others of our operating results with
other companies in our peer group as well as to Lawson's historical results.
Management uses non-GAAP operating results to evaluate short-term and long-term
operating trends in Lawson's core software operations. Non-GAAP operating
results are not prepared in accordance with GAAP and should not be considered a
substitute for or an alternative to operating results determined in accordance
with GAAP. Further, these non-GAAP financial measures may not be comparable to
similarly titled measures used by other companies.
Forward-Looking Statements
This press release contains forward-looking statements that contain risks
and uncertainties. These forward-looking statements contain statements of
intent, belief or current expectations of Lawson Software, Inc., and its
management. Such forward-looking statements are not guarantees of future results
and involve risks and uncertainties that may cause actual results to differ
materially from the potential results discussed in the forward-looking
statements. The final results for the first quarter of fiscal 2005 of Lawson
Software may differ from the preliminary results discussed above. The company's
ability to achieve increased non-GAAP margins and profitability for fiscal 2005
requires that the company obtain cost savings from expense control measures that
have not yet been fully determined. The company is not obligated to update
forward-looking statements based on circumstances or events which occur in the
future. In addition to factors discussed above, risks and uncertainties that may
cause such differences include but are not limited to: uncertainties in the
software industry; global military conflicts; terrorist attacks in the United
States, and any future events in response to these developments; changes in
conditions in the company's targeted service industries; increased competition
and other risk factors listed in the company's most recent Annual Report on Form
10-K filed with the Securities and Exchange Commission and as included in other
documents the company files from time to time with the Commission.
CONTACT: Lawson Software, St. Paul
Media Contact:
Terry Blake, 651-767-4766
terry.blake@lawson.com
or
Investor and Analyst Contact:
Barbara Doyle, 651-767-4385
barbara.doyle@lawson.com