Dassault Systèmes (DS) (Euronext Paris: #13065, DSY.PA) (Paris:DSY) (NASDAQ:DASTY) released preliminary unaudited non-GAAP financial results for the fourth quarter and year ended December 31, 2008. DS will hold a conference call today to discuss preliminary results at 12:00 PM London/1:00 PM CET/7:00 AM New York as described further below.
The preliminary and unaudited non-GAAP financial information which follows is based upon initial closing information and is subject to further review. Non-GAAP revenue excludes deferred revenue write-downs; non-GAAP EPS and non-GAAP operating margin also exclude deferred revenue write-downs as well as stock-based compensation expense, amortization of acquired intangibles and other income and expense, net and non-GAAP EPS also reflects the net tax effects related to the items excluded herein.
Preliminary and Unaudited 2008 Fourth Quarter non-GAAP Financial Information
Preliminary and Unaudited 2008 Full Year non-GAAP Financial Information
Bernard Charlès, Dassault Systèmes President and Chief Executive Officer, commented, “Our preliminary fourth quarter financial performance reflected an increasingly difficult environment as the year-end approached. This resulted in revenue coming in approximately €3 million lower than our objective as reported, or about €30 million in constant currencies, principally due to deferrals of contracts that were otherwise ready for final agreement and signing during December. Our recurring software revenue continued to grow, increasing double-digits in constant currencies for the fourth quarter.
“While we regret missing our objectives due to the uncertainty in the environment, our underlying discussions with an important number of customers who deferred orders this past quarter clearly confirm their need for our software solutions and their intention to complete these transactions.
“In summary, despite the effects of the significant downturn in the macroeconomic environment during the fourth quarter, Dassault Systèmes finishes 2008 with growth in revenue and earnings, a high level of recurring software revenue and a strong balance sheet.”
Today’s Conference Call Information
Dassault Systèmes will host a conference call today, Friday, January 16, 2009 at 12:00 PM London/1:00 PM CET/7:00 AM New York. The dial-in numbers for the conference call are as follows: callers within Europe as well as other international callers may dial +44(0) 1452 569 393; and callers within the U.S. may dial: +1 866 434 1089. A replay of the conference call will be available by dialing +44(0) 1452 550 000, access code 80837826. Additionally, the conference call will be available via the Internet by accessing http://www.3ds.com/corporate/investors/. Please go to the website at least fifteen minutes prior to the conference call to register, download and install any necessary audio software.
The Company will return to its pre-release quiet period beginning Tuesday, January 20, 2009 and will have no further comments on its financial results until it releases its fourth quarter and full year 2008 financial results on February 11, 2009.
Information in Constant Currencies
When the Company believes it would be helpful for understanding trends in its business, the Company provides percentage increases or decreases in its revenue (on a non-GAAP basis) to eliminate the effect of changes in currency values, particularly the U.S. dollar (US$) and the Japanese yen (JPY), relative to the euro. When trend information is expressed herein "in constant currencies", the results of the "current" period have first been recalculated using the average exchange rates of the comparable period in the preceding year, and then compared with the results of the comparable period in the preceding year.
Fourth Quarter and Full Year 2008 Press Release and Conference Call Notification
Dassault Systèmes will release its fourth quarter and full year 2008 financial results on February 11, 2009 and it will host a webcast and conference call that day. The webcast will be held at 10:00 AM London/11:00 AM CET/ 5:00 AM New York. The conference call will be held at 2:00 PM London/3:00 PM CET/ 9:00 AM New York. The webcast and conference call will be available via the Internet by accessing http://www.3ds.com/corporate/investors/. Please go to the website at least fifteen minutes prior to the webcast and conference call to register, download and install any necessary audio software.
Cautionary Statement Regarding Preliminary Non-GAAP Financial Information
The above statements contain estimates of the Company's non-GAAP 2008 fourth quarter and full year financial information. The Company is continuing to review its financial and operating results, and actual results may differ materially from those contained herein based on further review, any additional year-end accounting adjustments and other factors.
About Dassault Systèmes:
As a world leader in 3D and Product Lifecycle Management (PLM) solutions, Dassault Systèmes brings value to more than 100,000 customers in 80 countries. A pioneer in the 3D software market since 1981, Dassault Systèmes develops and markets PLM application software and services that support industrial processes and provide a 3D vision of the entire lifecycle of products from conception to maintenance to recycling. The Dassault Systèmes portfolio consists of CATIA for designing the virtual product - SolidWorks for 3D mechanical design - DELMIA for virtual production - SIMULIA for virtual testing - ENOVIA for global collaborative lifecycle management, and 3DVIA for online 3D lifelike experiences. Dassault Systèmes’ shares are listed on Euronext Paris (#13065, DSY.PA) and Dassault Systèmes’ ADRs may be traded on the US Over-The-Counter (OTC) market (DASTY). For more information, visit http://www.3ds.com
CATIA, DELMIA, ENOVIA, SIMULIA, SolidWorks and 3DVIA are registered trademarks of Dassault Systèmes or its subsidiaries in the US and/or other countries.
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