San Francisco, July 18, 2000 - Advent Software, Inc. (Nasdaq: ADVS) today announced revenue for the second quarter ending June 30, 2000 increased 35% to $32.7 million, from $24.2 million in the same quarter last year. Net income rose 66% to $5.8 million or 17 cents per share. This compares with $3.5 million, or 12 cents per share in the prior year period.
For the six months ending June 30, 2000, revenue was $60.3 million, a 36% increase from revenue of $44.4 million for the first six months of 1999. Net income was $9.7 million or 29 cents per share for the first half of 2000, compared with $5.4 million or 19 cents per share for the same period last year.
"The second quarter of 2000 proved to be quite successful in the increased adoption of our newest product - Advent TrustedNetwork™, the continued success of Geneva¸, our global portfolio accounting solution, and the entire Advent Office™ suite of products," said Peter Caswell, President and Chief Executive Officer of Advent Software. "Advent has been providing technology solutions to the investment management community for 17 years, and this tenure has given us a great deal of knowledge and experience, which we constantly leverage to better serve our clients. We will continue working to build on the success of our Enterprise Investment Management solutions, and work diligently to stay at the forefront of an ever-evolving industry."
ADVENT ADDRESSES NEW MARKETS WITH ASP PROGRAM
Advent announces it will begin rolling out an Internet-based application service provider (ASP) program for the Advent Office suite in the third quarter of this year. This program is being introduced in order for Advent to provide solutions to new market segments. As the ASP program rolls out over the next few quarters, even more investment firms will be able to take advantage of the industry’s leading suite of investment management software. Advent’s new ASP program will meet the administrative needs of many investment firms, allowing them to spend more time managing their business.
"We arrived at the decision to implement a new Internet-based ASP model for entry into new markets after being asked by many institutions for this type of solution," stated Caswell. "This ASP program will allow us to build relationships with a section of the marketplace that we have not focused on serving up until this point."
SUNGARD AND GREENTRAK JOIN ADVENT TRUSTEDNETWORK
Advent announces that SunGard (NYSE: SDS) has joined Advent TrustedNetwork. Advent TrustedNetwork is a new service that will enable financial institutions to use the Internet to deliver cross-institutional, consolidated views of individual investors’ portfolios. Under an exclusive agreement, SunGard will link its AutoTrust, Phase3, Trustware Series 7, Trustware 11, Omni ES, and Global Plus systems to Advent TrustedNetwork through the SunGard Transaction Network. This will provide SunGard’s 700 community bank and trust clients with access to Advent’s network of data providers. The wide network of clients who use SunGard systems represent $7 trillion in assets. With access to Advent TrustedNetwork, these bank and trust organizations will be able to offer a greater array of services to their customers by providing them with consolidated statements of their holdings across multiple institutions.
GreenTrak Inc., a leading provider of consolidated investment tracking reporting to the financial industry, also joined Advent TrustedNetwork during the second quarter. Since 1993, GreenTrak has formed partnerships with financial advisors to provide their clients with investment tracking reports that contain consolidated information gathered from multiple institutions. Advent TrustedNetwork's technology will now be used as the backbone to streamline the management of multi-institutional data used for The GreenTrak Reportƒ . Current GreenTrak partners include Merrill Lynch's Private Advisory Group, Donaldson, Lufkin, & Jenrette, and many top accounting firms.
"Consolidated investment tracking and reporting has gained incredible momentum in the market over the past few months. As the market embraces this new and indispensable tool, GreenTrak is in position to maintain its leadership by leveraging technology solutions, such as Advent TrustedNetwork. GreenTrak provides its partners and their clients with a consolidated view of their investments across multiple institutions through The GreenTrak Report," stated David A. Green, Chief Executive Officer of GreenTrak. "Advent TrustedNetwork will allow us to continue to offer our partners improved consolidated and unbiased financial reports, and this new strategic technology relationship will allow us to reduce our costs and offer The GreenTrak Report to more segments of investors."
NEW AND EXISTING CLIENTS UTILIZE THE ADVANTAGES OF ADVENT OFFICE
Loomis, Sayles, & Company, an investment counselor with more than $69 billion in assets under management, is just one of the many firms that chose Advent Office during the second quarter. Advent Office is a suite of complementary products used to automate the entire range of investment management functions.
"What first drew Loomis, Sayles to Advent Office was its ability to integrate our entire investment management process by automating our portfolio management, trade order management, and reconciliation processing," stated John Flynn, Chief Operating Officer of International Equity at Loomis, Sayles. "Not only is Advent Office proving to be an exceptional solution to our needs, the Advent team involved in the implementation is exceeding our expectations by being extremely helpful and knowledgeable."
Also in the second quarter, Oppenheimer Capital and PIMCO Equity Advisors, divisions of PIMCO Advisors, members of the Allianz group of companies that manage approximately $500 billion in assets, added to their initial investment in Advent by licensing Moxy¸, the trade order management component of Advent Office.
HUBDATA AND MICROEDGE INTERNET PRODUCTS GAIN MOMENTUM
Hub Data, a subsidiary of Advent, announced the launch of eActions™ in the second quarter. eActions is a first-of-its-kind corporate actions notification service that eliminates the manual effort involved in tracking corporate action changes. Geared to small and mid-size investment firms, eActions was designed to solve the manual, unreliable and error-prone process many small and mid-size firms encounter when gathering and tracking corporate actions information. Completely Internet based, eActions consolidates and delivers corporate actions information from Xcitek and CCH Incorporated, two of the industry’s leading sources of corporate actions data.
During the second quarter, MicroEdge, Inc., a wholly owned subsidiary of Advent Software, successfully integrated Internet-enabled enhancements to its GIFTS for Windows™ solutions. The Gifts product line is the leading suite of computer software solutions specifically designed for automating the unique grant-giving requirements of private foundations and corporate giving programs. The new functionality will dramatically improve the efficiency of the grant-giving process by allowing grant givers to complete and submit grant applications over the Internet.
ALLIANCE PROGRAM ADDITIONS
The Advent Alliance Program signed three new companies in the second quarter, increasing the number of organizations who have formally partnered with Advent to 18. Javelin Technologies, a provider of Financial Information Exchange (FIX) messaging, National Regulatory Services (NRS), a provider of compliance consulting and tools, and Wall Street Analytics, which Advent is partnering with for fixed income analytics, all have come on board as Advent Alliance Partners. Advent Alliance Partners’ products and services are interfaced with Advent Office to provide Advent clients with seamless solutions.
ADVENT SPRING CONFERENCE A SUCCESS
Advent held its annual spring conference in May in San Francisco. More than 800 participants attended the conference to learn more about the challenges and opportunities for money management in the 21st century, and were fortunate enough to participate in a lively presentation by keynote speaker, Robert Reich, economist and former Secretary of Labor. At the conference, Advent launched two new products, MyAdvent™ and Advent Vista™. MyAdvent will present a personalized, summarized view of a portfolio manager’s positions. Advent Vista will allow users to view market information that is directly related to the holdings in their Axys¸ portfolios. Advent Vista is the only market data tool available that gives users market news and information filtered and integrated to match their specific holdings.
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 6,000 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:Condensed Consolidated Balance Sheets and Statements of Operations(PDF 80KB)