San Francisco, April 17, 2001 - Advent Software, Inc. (Nasdaq: ADVS) today announced revenue for the first quarter ending March 31, 2001 increased 33% to $36.7 million, from $27.6 million in the same quarter of last year. Net income for the first quarter was $6 million, or 18 cents per share. This is an increase of 54% from $3.9 million or 12 cents per share in the same quarter year.
"Advent had a very successful first quarter, as we continued to provide the industry with state-of-the-art technology solutions, entered into exciting new strategic partnership agreements, and solidly added to our core client base," stated Peter Caswell, President and Chief Executive Officer of Advent Software.
MORGAN STANLEY AND ADVENT ENTER STRATEGIC RELATIONSHIP
Morgan Stanley (NYSE: MWD) entered into a strategic relationship with Advent in the first quarter for Advent TrustedNetworkSM. Under the agreement, Morgan Stanley and all of its affiliates can participate in Advent TrustedNetwork, and in addition, they can utilize Advent OfficeTM as a technology platform for their participation in Advent TrustedNetwork. Morgan Stanley and Advent Software have issued a joint press release today to further detail the strategic relationship.
Developed by Advent to enable professional investment advisors to deliver a heightened level of service to their clients, Advent TrustedNetwork enables financial institutions to use the Internet to deliver cross-institutional consolidated views of individual investors' portfolios. This consolidated information can be shared simultaneously between trusted financial professionals and their clients.
ADVENT'S GENEVA ADOPTED BY GROWING NUMBER OF FIRMS
During the first quarter, Credit Suisse First Boston's (CSFB) Prime Brokerage Group selected Geneva¸, Advent's advanced, real-time portfolio accounting system for multi-currency, high performance portfolio accounting, which will support its prime brokerage operations in New York, London, and Hong Kong. CSFB Prime Brokerage will be incorporating Geneva into its core operations environment, greatly enhancing their portfolio accounting and reporting capabilities, and allowing them to grow their business and attract new clients.
Carlson Capital, L.P., a multi-strategy hedge fund located in Dallas, TX, went live with Geneva in the first quarter. "We are very happy to have another premier firm in the hedge fund industry using Geneva. Many firms have chosen Geneva's state-of-the-art technology to give them a competitive advantage in the marketplace and provide them with the reliable information they need to manage the complex requirements of operating twenty-four hours a day in investment markets around the world," said Caswell.
ADVENT OFFICE CONTINUES TO ATTRACT NEW AND EXISTING CLIENTS
"Over the past quarter, Advent Office was selected by new investment firms of all types and sizes. We also saw a number of our existing clients add additional Advent solutions to complement their new strategies and growing businesses," Caswell said.
One of the many new firms that selected Advent Office during the first quarter was GlobalBridge, Inc., a Minneapolis-based investment firm that provides institutional investment managers with a cost-effective vehicle to access high-net-worth investors and financial advisers.
"GlobalBridge is positioned to be a leader in serving institutional money managers, financial advisers and high net worth investors. We needed a vendor that could help us achieve a straight-through-processing (STP) standard, from portfolio construction to trade execution, to trade settlement, to portfolio accounting and reporting," stated K. Thomas Coughlin, President and Chief Executive Officer of GlobalBridge. "Advent offered the best capabilities and expertise to ensure that the standard is achieved and that we meet our strategic objectives."
Berents & Hess Capital Management, Inc., an investment counselor managing more than $300 million that has been using Advent solutions for 13 years, chose to add enhanced customer relationship management functions to their business with Advent's Qube¸.
"We believe that integrating Qube with our existing Advent Office components will be our biggest productivity enhancement to date," stated Charles Berents, Managing Director of the firm. "Putting the plans in place to add value in our customer service will allow our wealth management practice to flourish."
ADVENT EUROPE CONTINUES TO BUILD MOMENTUM
Adding to its strong list of clients, Advent Europe Switzerland, a distributor of Advent Software, signed Sandoz FF Holding Bancaire et Financiere SA, a Swiss bank dedicated to wealth management for private and institutional clients. The bank will use Advent Office in its Geneva location.
"Advent's solutions are very flexible, and their knowledgeable people in Europe are adapting their solutions quite well to the European market," said Bancaire et Financiere's First Vice President and Head of Financial Engineering. "We went through an extensive search process, and are quite pleased with Advent's knowledge of our business, and attention to our unique needs."
Advent Europe also signed Skagen Fondene, a Stavanger, Norway-based mutual fund management company, which will use Advent Office for its portfolio accounting and trade order management solutions. Skagen Fondene has more than Norwegian Kroner 6 billion in assets under management.
ADVENT EXPANDS THE ADVENT OFFICE SUITE WITH ADVENT INX
Advent Internet Exchange, or Advent INXT, the newest component of Advent Office, was launched in the first quarter of 2001. Advent INX enables investment managers to display performance, holdings, yield and other portfolio data on web sites designed specifically for their clients. A highly scalable solution, Advent INX is capable of providing data on demand, regardless of the number of investors logging on to the site.
ADVENT ACQUIRES NPO SOLUTIONS
Advent Software, through its wholly owned subsidiary MicroEdge, Inc., announces that it has acquired NPO Solutions, a provider of integrated computer solutions for community foundations. NPO Solutions is a privately held company based in Loudon, New Hampshire. Advent paid approximately $6.5 million for all the shares of NPO Solutions. The acquisition closed April 16, 2001 and Advent expects the acquisition to be non-dilutive. A separate press release has been issued today to further detail this acquisition, and a question and answer document can be found on the investor relations portion of Advent's website at www.advent.com.
ADVENT FIRST QUARTER CONFERENCE CALL
Advent will be hosting its first quarter conference call at 4:45 Eastern Time today, April 17. The number to dial-in will be 888-868-9078 or 973-628-9554. If you are unable to listen to the call at this time, a replay will be available through April 24th by calling 402-220-0615.
Advent Software, Inc. is a leading provider of Enterprise Investment Management solutions, offering stand-alone and client/server software products, data interfaces, and related services that automate and integrate mission-critical functions of investment management organizations. Advent Office, the industry's first and only Enterprise Investment Management solution, enables investment firms to build a truly client-centric organization. Advent Office is a suite of complementary products used to automate the entire range of investment management functions, including portfolio management, client relationship management, trade order management, datawarehousing, partnership accounting, reconciliation management, and web-based portfolio, performance and analytic reporting. Advent has licensed its products to more than 6,500 financial institutions in 45 countries for use by more than 60,000 concurrent users. The company's common stock is traded on the Nasdaq National Market under the symbol ADVS.
The forward looking statements included in this press release, which reflect management's best judgment based on factors currently known, involve risks and uncertainties. These risks and uncertainties include potential fluctuations in results and future growth rates, the successful development and market acceptance of new products and product enhancements, fluctuations in the financial markets, challenges assimilating NPO and other acquired entities, and other risks detailed from time to time in the company's SEC reports, including, but not limited to, its annual report on Form 10-K and quarterly reports on Form 10-Q, copies of which may be obtained by contacting Advent Software's Investor Relations Department at 415-645-1243 or Advent's Investor Relations website at http://www.advent.com/. Actual results may differ materially.
- FINANCIAL HIGHLIGHTS -
Irv H. Lichtenwald - CFO
Robin Goodstein – Inv Relations
Advent Software, Inc.
301 Brannan Street
San Francisco CA 94107