Exhibit 99.1
MICROS REPORTS FISCAL 2005 SECOND QUARTER RESULTS: RECORD SECOND QUARTER
REVENUE, NET INCOME AND EPS; REVENUE, NET INCOME AND EPS EXCEED EXPECTATIONS
COLUMBIA, Md., Jan. 27 /PRNewswire-FirstCall/ -- MICROS Systems, Inc.
(Nasdaq: MCRS), a leading supplier of information systems to the hospitality and
retail industries, today announced the results for its fiscal 2005 second
quarter ended December 31, 2004. Revenue for the quarter was $141.9 million, an
increase of $24.7 million, or 21.0%, over the same period last year. Net income
for the quarter was $11.8 million, an increase of $3.2 million, or 37.1%, over
the year ago second quarter. The quarterly revenue, net income, and earnings per
share were Company records for the second fiscal quarter. Earnings per share, on
a diluted basis, were $0.59 per share, an increase of $0.14 per share, or 31.1%,
over the year ago earnings of $0.45 per share. Revenue, net income and earnings
per share results exceeded consensus expectations.
The quarterly results do not include any impact from MICROS's acquisition of
JTECH Communications, which was concluded on January 5, 2005.
For the six-month period ended December 31, 2004, MICROS's revenue was
$271.9 million, an increase of $48.2 million, or 21.6%, over the same period
last year. Net income for the six-month period was $21.4 million, an increase of
$8.1 million, or 60.8%, over the year ago period. Earnings per share, on a
diluted basis, were $1.09, an increase of $0.39 per share, or 55.7%, over the
year ago earnings of $0.70 per share.
On January 5, 2005, MICROS announced a two-for-one stock split effective
February 1, 2005. For the fiscal 2005 second quarter ended December 31, 2004,
earnings per diluted share, proforma adjusted for the announced two-for-one
stock split, were $0.30, an increase of $0.08 per share, or 36.4%, over the year
ago earnings of $0.22 per share. For the six-month period ended December 31,
2004, earnings per diluted share, proforma adjusted for the announced two-
for-one stock split, were $0.55, an increase of $0.20 per share, or 57.1%, over
the year ago earnings of $0.35 per share.
Tom Giannopoulos, MICROS's Chairman and CEO, stated: "The excellent
quarterly and year-to-date results reflect the continuing acceptance of our
products and services worldwide."
MICROS's guidance for its fiscal 2005 third quarter ending March 31, 2005,
has been increased to revenue between $135.0 million and $140.0 million and net
income between $10.0 million and $11.0 million. MICROS's guidance for the fiscal
2005 year ending June 30, 2005, has been increased to revenue between $555.0
million and $563.0 million and net income between $45.0 million and $48.0
million.
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. Some of those uncertainties
are: product demand and market acceptance; adverse economic factors; impact of
competitive products and pricing on margins; product development delays and
technological difficulties; and aggressively controlling expenses. Other risks
are indicated in the MICROS Form 10-K and other filings with the Securities and
Exchange Commission. MICROS assumes no obligation to update or supplement
forward-looking statements that become untrue because of subsequent events.
MICROS SYSTEMS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited - in thousands, except per share amounts)
Second Quarter Ended Six-Months Ended
December 31, December 31,
------------------------- -------------------------
2004 2003 2004 2003
----------- ----------- ----------- -----------
Revenue:
Hardware $ 42,631 $ 34,300 $ 81,933 $ 68,246
Software 23,544 19,975 46,421 36,764
Service 75,755 62,979 143,538 118,661
Total revenue 141,930 117,254 271,892 223,671
Cost of sales:
Hardware 29,381 24,717 55,592 48,457
Software 6,092 4,507 11,261 8,840
Service 35,366 26,958 68,814 53,167
Total cost of sales 70,839 56,182 135,667 110,464
Gross margin 71,091 61,072 136,225 113,207
Selling, general and
administrative
expenses 44,790 38,129 85,858 73,691
Research and
development expenses 6,951 7,160 13,662 13,334
Depreciation and
amortization 2,544 2,430 4,946 4,747
Total operating
expenses 54,285 47,719 104,466 91,772
Income from operations 16,806 13,353 31,759 21,435
Non-operating income,
net 905 1,301 1,335 1,456
Income before taxes,
minority interests,
and equity in net
earnings of affiliates 17,711 14,654 33,094 22,891
Income tax provision 5,714 5,935 11,252 9,271
Income before minority
interests and equity
in net earnings of
affiliates 11,997 8,719 21,842 13,620
Minority interests and
equity in net earnings
of affiliates (244) (148) (428) (302)
Net income $ 11,753 $ 8,571 $ 21,414 $ 13,318
Net income per common share:
Basic $ 0.63 $ 0.47 $ 1.16 $ 0.74
Diluted $ 0.59 $ 0.45 $ 1.09 $ 0.70
Weighted-average number
of shares outstanding:
Basic 18,609 18,177 18,471 18,107
Diluted 19,815 19,159 19,593 19,058
MICROS SYSTEMS, INC.
CONSOLIDATED BALANCE SHEET
(Unaudited - in thousands, except per share amounts)
December 31, June 30,
2004 2004
------------ ------------
ASSETS
Current assets:
Cash and cash equivalents $ 106,681 $ 91,451
Accounts receivable, net 108,692 101,367
Inventories, net 41,965 36,095
Deferred income taxes 10,463 9,396
Prepaid expenses and other current assets 32,861 16,242
Total current assets 300,662 254,551
Property, plant and equipment, net 20,326 19,550
Deferred income taxes, non-current 24,887 24,288
Goodwill, net 71,228 70,715
Intangible assets, net 5,166 5,476
Purchased and internally developed software costs,
net 42,151 41,112
Other investments 410 415
Other assets 2,078 2,785
Total assets $ 466,908 $ 418,892
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Bank lines of credit $ 2,729 $ 2,481
Current portion of capital lease obligations 184 139
Accounts payable 26,481 29,681
Accrued expenses and other current liabilities 55,442 58,693
Income taxes payable 4,826 1,541
Deferred income taxes 1,202 512
Deferred service revenue 44,484 43,019
Total current liabilities 135,348 136,066
Capital lease obligations, net of current portion 142 166
Deferred income taxes, non-current 15,537 15,544
Other non-current liabilities 1,493 1,401
Commitments and contingencies
Minority interests 2,865 2,742
Shareholders' equity:
Common stock 471 457
Capital in excess of par 87,079 71,525
Retained earnings 207,074 185,660
Accumulated other comprehensive income 16,899 5,331
Total shareholders' equity 311,523 262,973
Total liabilities and shareholders' equity $ 466,908 $ 418,892
SOURCE MICROS Systems, Inc.
-0- 01/27/2005
/CONTACT: Peter J. Rogers, Jr., Vice President, Investor Relations of
MICROS Systems, Inc., +1-443-285-8059, or progers@micros.com/
/Web site: http://www.micros.com/