Cimatron Reports its Highest-Ever Revenues and Operating Profit in Q4/10

$11M in Quarterly Revenues and $1.7M non-GAAP Quarterly Operating Profit; Record Revenues in China and South Korea and Strong Growth in North America Lead to Revenues of $36.1M and non-GAAP Operating Profit of $3.1M in Full Year 2010

GIVAT SHMUEL, Israel, February 8, 2011 — (PRNewswire) — Cimatron Limited (NASDAQ: CIMT) , a leading provider of integrated CAD/CAM solutions for the toolmaking and manufacturing industries, today announced financial results for the fourth quarter and full year 2010.

    Financial highlights

    - 2010 new licenses revenue up 30% year-over-year on a constant
    currency basis

    - $1.6M non-GAAP net profit in Q4/10, an increase of 63% year-over-year

    - $4.8 million positive cash flow from operating activities in 2010,
    a 275% year-over-year increase

    - $10.2M cash balance at end of 2010

    - 32 Cent non-GAAP EPS in 2010

Commenting on the results, Danny Haran, President and Chief Executive Officer of Cimatron, said, "We are very pleased with the record fourth quarter results and the overall strong 2010 results. As the global economic recovery continues, excellent results from key territories have made this possible. As we said many times before, and very well evidenced by the 2010 results, the vast majority of any additional revenues find their way to our bottom line. Early January sales figures suggest the continuation of that momentum into 2011, where we expect further developments, both on the product side and the sales channels", concluded Mr. Haran.

The following provides details on Cimatron's GAAP and non-GAAP results for the fourth quarter and full year 2010:

The financial figures in this press release are unaudited. The Company believes that adjustments, if any, resulting from the audit process would be immaterial. The Company plans to release its audited financial statements for 2010 via a Report on Form 6-K in March 2011.

GAAP:

Revenues for the fourth quarter of 2010 increased 12.8% to $11.0 million, compared to $9.8 million recorded in the fourth quarter of 2009. In the full year ended December 31, 2010, revenues increased 9.5% to $36.1 million, compared to $33.0 million in 2009.

Gross Profit for the fourth quarter of 2010 was $9.4 million as compared to $8.0 million in the same period in 2009. Gross margin in the fourth quarter of 2010 was 85% of revenues, compared to a gross margin of 82% in the same quarter of 2009. In 2010, gross profit was $30.2 million, compared to $26.8 million in the same period of 2009. Gross margin in 2010 was 84% compared to a gross margin of 81% in 2009.

Operating profit in the fourth quarter of 2010 was $1.4 million, compared to an operating profit of $0.8 million in the fourth quarter of 2009, an increase of 82%. In 2010, Cimatron recorded an operating profit of $2.1 million, compared to an operating loss of $(1.0) million in 2009.

Net Profit for the fourth quarter of 2010 was $1.1 million, or $0.12 per diluted share, compared to a net profit of $1.4 million, or $0.15 per diluted share recorded in the same quarter of 2009. In 2010 net profit was $1.6 million, or $0.18 per diluted share, compared to a net profit of $14 thousand, or $0.00 per diluted share, in 2009.

Non-GAAP:

Revenues for the fourth quarter of 2010 increased 12.8% to $11.0 million, compared to $9.8 million recorded in the fourth quarter of 2009. In the full year ended December 31, 2010, revenues increased 9.5% to $36.1 million, compared to $33.0 million in 2009.

Gross Profit for the fourth quarter of 2010 was $9.5 million as compared to $8.2 million in the same period in 2009. Gross margin in the fourth quarter of 2010 was 86% of revenues, compared to a gross margin of 84% in the same quarter of 2009. In 2010, gross profit was $30.8 million, compared to $27.4 million in 2009. Gross margin in 2010 was 85%, compared to 83% in 2009.

Operating Profit in the fourth quarter of 2010 was $1.7 million, compared to an operating profit of $1.0 million in the fourth quarter of 2009, an increase of 62%. In 2010, Cimatron reports an operating profit of $3.1 million, compared to operating profit of $31 thousand in 2009.

Net profit for the fourth quarter of 2010 increased 63% to $1.6 million, or $0.17 per diluted share, compared to a net profit of $1.0 million, or $0.10 per diluted share recorded in the same quarter of 2009.

In 2010, net profit increased to $2.9 million, or $0.32 per diluted share, compared to a net profit of $46 thousand, or $0.01 per diluted share, in 2009.

Conference Call

Cimatron's management will host a conference call today, February 8th, 2011 at 9:00 EST, 16:00 Israel time. On the call, management will review and discuss the results, and will answer questions by investors.

To participate, please call one of the following teleconferencing numbers. Please begin placing your call at least 5 minutes before the conference call commences.

                              USA: +1-888-407-2553

                          International: +972-3-9180610

                               Israel: 03-9180610

For those unable to listen to the live call, a replay of the call will be available from the day after the call at the investor relations section of Cimatron's website, at: http://www.cimatron.com

Reconciliation between results on a GAAP and Non-GAAP basis is provided in a table immediately following the Consolidated Statements of Income included herein. Non-GAAP financial measures consist of GAAP financial measures adjusted to include recognition of deferred revenues of acquired companies and to exclude amortization of acquired intangible assets and deferred income tax, as well as certain business combination accounting entries. The purpose of such adjustments is to give an indication of our performance exclusive of non-cash charges and other items that are considered by management to be outside of our core operating results. Our non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read in conjunction with our consolidated financial statements prepared in accordance with GAAP.

Our management regularly uses our supplemental non-GAAP financial measures internally to understand, manage and evaluate our business and make operating decisions. We believe that these non-GAAP measures help investors to understand our current and future operating performance, especially as our two most recent acquisitions have resulted in amortization and non-cash items that have had a material impact on our GAAP results. These non-GAAP financial measures may differ materially from the non-GAAP financial measures used by other companies.

About Cimatron

With over 28 years of experience and more than 40,000 installations worldwide, Cimatron is a leading provider of integrated, CAD/CAM solutions for mold, tool and die makers as well as manufacturers of discrete parts. Cimatron is committed to providing comprehensive, cost-effective solutions that streamline manufacturing cycles and ultimately shorten product delivery time.

1 | 2 | 3  Next Page »



Review Article Be the first to review this article
HP

SolidCAM: Program your CNCs directly inside your existing CAD system.

Featured Video
Editorial
Jeff RoweJeff's MCAD Blogging
by Jeff Rowe
APSX Bringing Injection Molding To The Desktop
Jobs
Inside Sales for SolidCAM at Newtown, PA
Director of Mechanical Engineering for Velodyne LIDAR at Morgan Hill, CA
Sr. GIS Technical Analyst for Southern California Edison SCE Transmission and Distribution Organization at Rosemead, CA
Architect for North County Transit District at Oceanside, CA
Architetural Project Manager for DRA Architects at Irvine, CA
Upcoming Events
DriveWorks World at The Barley Store Laskey Lane Thelwall Cheshire United Kingdom - Mar 6 - 9, 2017
JEC World 2017 at Paris Nord Villepinte Exhibition Centre Paris France - Mar 14 - 16, 2017
SOLIDWORKS funding event – Leicester at The National Space Centre, Exploration Dr, Leicester, LE4 5NS Leicester United Kingdom - Mar 17, 2017
ACE 2017 Nashville at Nashville TN - Mar 21 - 23, 2017



Internet Business Systems © 2017 Internet Business Systems, Inc.
595 Millich Dr., Suite 216, Campbell, CA 95008
+1 (408)-337-6870 — Contact Us, or visit our other sites:
AECCafe - Architectural Design and Engineering EDACafe - Electronic Design Automation GISCafe - Geographical Information Services TechJobsCafe - Technical Jobs and Resumes ShareCG - Share Computer Graphic (CG) Animation, 3D Art and 3D Models
  Privacy Policy Advertise