San Francisco, April 18, 2000 - Advent Software, Inc. (Nasdaq: ADVS) today announced revenue for the first quarter ending March 31, 2000 increased 37% to $27.6 million, up from $20.2 million in the first quarter of the prior year. Net income doubled to $3.9 million, or 12 cents per share from $2 million or 7 cents per share in the same quarter a year ago.
"We had an extremely busy first quarter where we saw even more validation by investment firms of all types and sizes as they continued to select both our Advent Office™ suite of products and Geneva¸, our global portfolio accounting solution," stated Peter Caswell, President and Chief Executive Officer of Advent Software. "We also made great progress with our Internet-initiative by launching Advent TrustedNetwork, an innovative new business-to-business solution."
myCFO JOINS ADVENT TRUSTEDNETWORK
myCFO, established last year by Jim Clark, founder of Silicon Graphics, Netscape and Healtheon, joined Advent TrustedNetwork after the close of the first quarter, and will utilize Advent's cross-institutional, data gathering and reporting platform to provide consolidated reports to their clients. myCFO brings together best-in-class wealth services professionals who personally counsel clients on wealth management with cutting-edge Internet technology to provide a full range of services to affluent individuals and their families. myCFO joins a notable list of early adopters of Advent TrustedNetwork, including Bessemer Trust Company and Glenmede Trust. Bessemer Trust Company, which manages approximately $30 billion in assets, has been providing strategic, customized solutions to an elite clientele of high-net-worth families, individuals and select institutions for nearly a century. Glenmede Trust, with $18 billion in assets under management, has been providing total wealth management to high net worth individuals and institutions since 1956.
Advent TrustedNetwork is a revolutionary new service that will enable financial institutions to use the Internet to deliver cross-institutional consolidated views of individual investors’ portfolios. Introduced in the first quarter, Advent TrustedNetwork was developed by Advent to enable professional investment advisors to deliver a heightened level of service to their clients. Advent TrustedNetwork’s customers are institutions that will provide value-added online financial services to their clients. Advent will provide the cross-institutional, consolidated data gathering and reporting platform.
"We’ve been extremely pleased with the response from our clients and potential partners since we announced Advent TrustedNetwork," said Caswell. "With millions of households holding between three and fourteen distinct financial accounts, usually across multiple institutions, financial services professionals are rallying around an automated solution to provide their clients with accurate securities accounting across multiple institutions. Advent is in a unique position to deliver the Advent TrustedNetwork infrastructure for cross-institution data gathering and reporting, and the industry is responding quite well," he continued. "This new service will offer our clients a new and exciting way for them to focus on delivering quality advice to their clients and grow their business."
DEUTSCHE BANK PRIME BROKERAGE GROUP SELECTS GENEVA
Deutsche Bank Prime Brokerage selected Geneva during the first quarter, adding to the growing list of global, multi-billion dollar organizations that have chosen Advent’s real-time, global portfolio accounting system. Geneva, which continues to gain momentum in the marketplace as it is adopted by Wall Street’s top firms, gives investment professionals the real-time information they require to react quickly and profitably to the complex requirements of the global investment market.
CLIENTS WORLDWIDE SELECT ADVENT OFFICE
Fleet Securities, a New York-based full-service, municipal securities broker, selected Advent Office in the first quarter to offer a high level of service to their numerous correspondent brokers. With the firm's licensing of Advent Browser Reporting™ for Enterprise Users, it will be able to differentiate its business, while giving its correspondent brokers a competitive advantage in the marketplace.
"We are excited at the advantages an Internet-based system like Advent Browser Reporting will bring to our business," said Ron Valeggia, Chief Information Officer of Fleet Securities. "Our correspondent brokers will be able to leverage Axys¸ reports through an easy-to-use browser interface, which can help them make more informed investment decisions. It's going to make a great difference in their businesses, and we're pleased to offer the service to them."
Also during the first quarter, First Associates Investments, Inc., a Toronto-based investment counselor managing over $150 US million dollars in United States and Canadian securities, chose Advent Office to automate its portfolio management function. "One of the biggest advantages to a portfolio management solution like Axys is its ability to fully integrate with the back office concerns of our business," stated David Burrows, President of First Associates. "With the administrative details out of the way, we will be able to put all of our efforts into what we do best – manage our clients’ portfolios. We feel that Advent Office is the best solution available to let us get through the ups and downs of the market without having to worry about the underlying technology."
Advent Europe's continued momentum in the first quarter included signing SpareBank1 SR- Bank, which manages $4 US billion in assets. SpareBank1 SR-Bank, which licensed Axys and Moxy¸, is a member of the SpareBank1 national bank alliance in Norway. Leveraging the resources of Advent and extending existing relationships with overseas firms, Advent Europe is poised for continued success. "As an entrepreneurial venture, Advent Europe is in an extremely good position given the support we receive from Advent in the United States," said Inge Five, Chief Executive Officer of Advent Europe.
Oppenheimer Capital and PIMCO Equity Advisors, divisions of PIMCO Advisors, the third largest publicly traded investment management company in the U.S., chose Advent Office in the first quarter. The two companies share back office operations and have approximately $60 billion in assets under management combined. The companies have licensed Advent Office’s portfolio management, browser reporting, contact management, reconciliation and custodial data interface components.
"We needed an integrated solution that could handle all of our portfolio management functions in a seamless manner," said Ken Poovey, Chief Executive Officer of Oppenheimer Capital and PIMCO Equity Advisors. "Advent was able to deliver an integrated solution for all of our current technology needs, and can scale to meet our needs as we continue to grow."
"With recent adoptions of Advent Office by firms all over the world, it’s clear that the investment community believes in Advent and our Enterprise Investment Management vision," stated Caswell.
ADVENT’S ALLIANCE PROGRAM CONTINUES TO ATTRACT LEADING COMPANIES
Developed to deliver value-added technologies and services to Advent clients, the Advent Alliance Program signed two new partners in the first quarter. Joining the program is ProxyEdge, the industry’s most widely used voting software, and RiskMetrics, Inc., the risk management experts, which provides the financial community with innovative methodologies and research, software and benchmark data.
ROBERT REICH WILL BE KEYNOTE SPEAKER AT ADVENT SPRING USER CONFERENCE
Advent is pleased to announce that Robert Reich, economist and former Secretary of Labor, will be the Keynote Speaker at the Spring Conference in San Francisco on May 8-10, 2000. Also featured is Laura D’Andrea Tyson, Dean of the Haas School of Business at the University of California at Berkeley, and former National Economic Advisor to President Clinton. This year’s conference will offer Advent clients three days of industry, technology and product sessions with more than 70 speakers. Designed to highlight the challenges and opportunities for money management in the 21st century, the 2000 Spring Conference will feature discussions on such industry issues as straight-through processing, the upcoming change to T+1, and 24-hour trading. For specific details about the conference or to register to attend, please see Advent's web site at www.advent.com or Advent's client web site at connection.advent.com.
TWO-FOR-ONE STOCK SPLIT
On March 13, 2000, Advent completed a two-for-one split of its common stock. The stock split increased the number of shares of common stock outstanding from approximately 14.8 million shares to approximately 29.6 million shares.
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 5,800 financial institutions in 36 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 including the successful development and market acceptance of new products and product enhancements, fluctuations in the financial markets 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, quarterly reports on Form 10-Q, and prospectus dated June 17, 1999, 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