Aerospace & Defense
Innovation and collaborative, synchronized program management for new programs
Company Also Announces First Two Systems Integrator Alliances Since Launch of Independent Operations and New Marketing Leader
FOR RELEASE Tuesday, February 8, 2005
PLANO, Texas– UGS, a leading global provider of product lifecycle management (PLM) software and services, today announced it exceeded US$1 billion in revenue for 2004 -- becoming the first company in the new PLM industry to report breaking the $1 billion mark in annual revenues.
Pro-forma financial highlights from the full year 2004 include:
All of the above figures exclude certain GAAP purchase accounting adjustments relating to the UGS acquisition. These include amortization and depreciation expenses of US$78.0 million and the reduction to revenues of US$40.9 million as a result of writing off deferred revenue. EBITDA includes an unrealized foreign currency gain of US$12.6 million.
Pro forma financial highlights from the fourth quarter 2004 include:
All of the above 2004 figures also exclude certain GAAP purchase accounting adjustments relating to the UGS acquisition. These include amortization and depreciation expenses of US$32.7 million and the reduction to revenues of US$14.0 million as a result of writing off deferred revenues. EBITDA includes an unrealized foreign currency gain of US$9.5 million.
“Today marks a major milestone for UGS in many ways. We are the first company in the new PLM industry to report reaching the $1 billion mark in revenue, and we continue to increase our market share and profitably grow while always focusing on our customers’ success as our number one priority,” said Tony Affuso, chairman, CEO and president of UGS.
“A key driver of UGS’ strong year-to-date growth is the company’s undisputed leadership in the cPDm segment of the PLM market – the market’s highest-growth space. Our cPDm leadership also drives our ability to pursue enterprise-level engagements, which we are now doing in a number of new industries where highly successful companies are transforming their processes of innovation bypioneering PLM’s adoption as an enterprise imperative,” Affuso said. “We believe the winner in PLM will be the winner in cPDm, and our growth and momentum in cPDm continues to gain steam.”
UGS also today issued several announcements of major significance to the company:
“Combined with our strong fourth quarter and full year 2004 performance, these announcements underscore both an industry and a company on the move,” Affuso said. “UGS’ customer commitment remains our most critical attribute. UGS’ new alliances highlight our independence and that leading systems integrators see the strong opportunity in the dynamic PLM market. The appointment of Dave Shirk emphasizes our readiness to take the company to an even stronger market position and completes our senior leadership team. UGS jumps into 2005 with confidence in our ability to move to the next level of market leadership.”
UGS is a leading global provider of product lifecycle management (PLM) software and services with nearly 4 million licensed seats and 42,000 clients worldwide. Headquartered in Plano, Texas, the company promotes openness and standardization and works collaboratively with its clients in creating enterprise solutions enabling them to transform their process of innovation and thus begin to capture the value of PLM.
The statements in this news release that are not historical statements are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks and uncertainties, many of which are beyond UGS’ control, which could cause actual results to differ materially from such statements. The company has included a discussion of pertinent risk factors in the final offering memorandum relating to our 10% Senior Subordinated Notes, a copy of which discussion of risk factors is available from the company. The company disclaims any intention or obligation to update or revise any forward- looking statements, whether as a result of new information, future events or otherwise.
UGS will host a web-streamed audio call on its fourth quarter 2004 and year-end earnings with securities analysts live on the Internet at 10:30 a.m. Central time, Tuesday, Feb. 8, 2005. Listen to a replay at: https://www.mymeetings.com/nc/join.php?i=PG3315015&p=UGS&t=r
Note: Those joining the streaming audio online call must have Windows Media Player or Real Player to participate.