|
|||||||||||||||||||||||||||||||||||||||
|
To Present at JP Morgan Small Cap Conference MOUNTAIN VIEW, Calif., November 21, 2002 -- Pinnacle Systems, Inc. (NASDAQ:PCLE) today announced that J. Kim Fennell, President and CEO and Art Chadwick, VP Finance & Administration and CFO of the company will be presenting at the JP Morgan Small Cap Conference at the Fairmont Copley Plaza Hotel in Boston, MA on November 21, 2002. About Pinnacle Systems, Inc.
To Present at AEA Classic Conference
MOUNTAIN VIEW, Calif., November 4, 2002 -- Pinnacle Systems, Inc. (NASDAQ:PCLE) today announced that J. Kim Fennell, President and CEO and Art Chadwick, VP Finance & Administration and CFO of the company will be presenting at the AEA Classic Conference at the Sheraton Hotel & Marina, San Diego, California on November 4 and 5, 2002. A live audio web cast of Pinnacle Systems' presentation will be available through the following website: http://www.visualwebcaster.com/event.asp?id=9773 About Pinnacle Systems, Inc.
Q1 Fiscal 2003 Revenue Increases 46% Year over Year
MOUNTAIN VIEW, Calif., October 22, 2002 -- Pinnacle Systems, Inc. (NASDAQ:PCLE) today announced financial results for the first quarter of fiscal 2003, which ended September 30, 2002. Net sales for the first quarter were $68,574,000, a 46% increase over net sales of $46,968,000 in the first quarter of last fiscal year. Net income for the first quarter, including acquisition related amortization charges and the cumulative effect of change in accounting principle related to goodwill, was a loss of $17,870,000 or $0.30 per share. Pro forma net income (*) for the first quarter was a profit of $4,194,000 or $0.07 per share. In addition, the Company generated over $11.6 million in cash during the quarter and ended with $100.0 million in cash and marketable securities. J. Kim Fennell, Pinnacle Systems' President and Chief Executive Officer, commented, "We are extremely pleased with our financial performance during the quarter, particularly in light of a difficult economic climate. Our competitive advantage comes from having leading edge technology that gets leveraged across both our broadcast and consumer businesses. This, combined with a strong focus on our customers and business fundamentals, has combined to put us into a very favorable market position." By division, net sales for the first quarter were $35.0 million in the Broadcast and Professional division and $33.6 million in the Business and Consumer division, a 34% and 61% respective increase over the same quarter last fiscal year. Gross margins in the Broadcast and Professional division were 57.7% and gross margins in the Business and Consumer division were 51.9%. Blended gross margins for the first quarter were 54.8%, a sequential increase over the prior quarter and a substantial increase of more than eleven percentage points over the same quarter last fiscal year. The Company adopted SFAS No.142, relating to "Goodwill and Other Intangible Assets," effective July 1, 2002. As a result, the Company recorded a goodwill impairment charge of $19,291,000 during the first quarter, which is included in the cumulative effect of change in accounting principle. Also, as a result of this adoption of SFAS No.142, the Company will no longer amortize any acquisition related goodwill for past or potential future acquisitions. Recent operating highlights: -- Commenced shipments of Pinnacle Studio 8, our consumer editing
and DVD authoring solution. The Company will host an audio web-cast at 2:00 p.m. (Pacific Time) on October 22nd, 2002, which can be heard live at www.pinnaclesys.com, and will be available for at least the following two weeks. * The pro forma net income reported for the first quarter excludes $3,371,000 in amortization of acquisition-related intangible assets, the $19,291,000 goodwill impairment charge, and assumes a 20% pro forma income tax rate and a share count of 62,018,000 diluted shares. The pro forma net income information is presented for informational purposes only, as an aid to understanding the Company's operating results. This pro forma information differs from information prepared in accordance with generally accepted accounting principles and should not be considered a substitute for the historical financial information presented in accordance with GAAP. The pro forma tax rate is used for comparison purposes only. The pro forma measures used by the Company may be different from pro forma measures used by other companies. About Pinnacle Systems, Inc. This press release contains forward-looking statements that involve risk and uncertainties within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 about the Company's results for the first quarter of fiscal 2003. Actual results may differ materially from the forward-looking statements due to certain risks set forth below. Though the business climate and financial performance for both the Broadcast and Professional and Business and Consumer divisions improved throughout each quarter in fiscal 2002 and continued to improve during the first quarter of fiscal 2003, there can be no assurance that such improvement will continue into future quarters. Any slow down in the economy, or any slow down in the markets into which Pinnacle Systems sells it products, could negatively impact future results. Though the Company will no longer amortize goodwill for any of its past or potential future acquisitions as a result of adopting SFAS No. 142, we will evaluate, on an annual basis or whenever significant changes occur in our business, whether our goodwill and other intangible assets have been impaired, and will record an impairment charge if they have. All information set forth in this release and its attachments is made as of October 22nd, 2002, and the Company undertakes no duty to update this information. More information about potential factors that could affect the Company's business and financial results is included in the Company's Annual Report on Form 10-K for the fiscal year ended June 30, 2002, including (without limitation) under the caption "Management's Discussion and Analysis of Financial Condition and Results of Operations," which are on file with the Securities and Exchange Commission (the "SEC") and available at the SEC's website at www.sec.gov. All trademarks and registered trademarks are the property of their owners.
Scheduled to Release First Quarter Fiscal 2003 Results on October 22
MOUNTAIN VIEW, Calif., October 7, 2002 -- Pinnacle Systems, Inc. (NASDAQ:PCLE) today announced that it will be releasing first quarter fiscal 2003 results (quarter ending September 30, 2002) on Tuesday, October 22, 2002 after the close of market. A financial conference call will follow the earnings release and will begin at 2:00 p.m. PDT on October 22, 2002. A live audio webcast of the conference call will be available online at www.pinnaclesys.com. For anyone who misses the live call, a replay will be available on Pinnacle Systems website for the following two weeks. About Pinnacle Systems, Inc. All trademarks and registered trademarks are the property of their respective owners, 2001-2002, Pinnacle Systems, Inc.
MOUNTAIN VIEW, Calif., October 1, 2002 -- Pinnacle Systems, Inc. (NASDAQ:PCLE), announced today that it acquired VOB Computersysteme GmbH, a privately held company based in Dortmund, Germany, effective today. VOB Computersysteme GmbH specializes in writable CD and DVD products and technology. The company was acquired for a total purchase price of approximately $7.0 million consisting of $4.0 million in cash and the issuance of $3.0 million worth of Pinnacle Systems common stock. The company will be merged into the Pinnacle Systems Business and Consumer division. Pinnacle Systems acquired all intellectual property, products and software rights, along with all other assets and liabilities of the company and will account for this transaction as a purchase. Pinnacle Systems plans to combine VOB Computersysteme's writable CD and DVD technology with Pinnacle's DVD and consumer video authoring solutions to enable the recording of data, music and video to both CDs and DVDs. J. Kim Fennell, President and CEO at Pinnacle Systems said, "We understand the importance of the market for software solutions for writable CD and DVD's. VOB Computersysteme is recognized as having some of the best technology in this market and our intent is to combine that technology and talent with our award-winning consumer video authoring solutions to provide advanced, fully-integrated software suites for writable CD and DVD drives." "VOB Computersysteme is pleased to be joining forces with Pinnacle Systems. Our customers and products will benefit greatly from the combined resources of the two companies. We look forward to continuing the vision behind our products as they get integrated into Pinnacle Systems suite of world class consumer software products," said Volkmar Breitfeld, President of VOB Computersysteme. About Pinnacle Systems, Inc. All trademarks and registered trademarks are the property of their respective owners, 2001-2002, Pinnacle Systems, Inc.
To Present at Piper Jaffray Technology & Communications Conference
MOUNTAIN VIEW, Calif., August 7, 2002 -- Pinnacle Systems, Inc. (Nasdaq: PCLE) today announced that J. Kim Fennell, President and CEO and Art Chadwick, VP Finance & Administration and CFO of the company will be presenting at the Annual Technology & Communications Conference hosted by the Piper Jaffray Group at the Seaport Hotel, Boston, Massachusetts on August 8, 2002 at 10:50 a.m. Eastern Standard Time. A live audio web cast of Pinnacle Systems' presentation will be available through the following website: http://www.gotoanalysts.com/tccwebcast About Pinnacle Systems, Inc. All trademarks are the property of their respective owners, copyright 2001-2002, Pinnacle Systems.
Reports Results for Fourth Quarter Fiscal 2002
MOUNTAIN VIEW, Calif., July 29, 2002 -- Pinnacle Systems, Inc. (NASDAQ:PCLE) today announced financial results for the fourth quarter of fiscal 2002, which ended June 30, 2002. Net sales for the fourth quarter were $65,021,000, a 31% increase over net sales of $49,778,000 in the fourth quarter of fiscal 2001. Net income for the fourth quarter, including acquisition related amortization charges, was a loss of $8,366,000 or $.14 per share. Proforma net income (*) for the fourth quarter was a profit of $4,455,000 or $0.07 per share. The proforma net income information was calculated by excluding $8,903,000 in amortization of acquisition-related intangible assets, assumes a 20% proforma income tax rate on fiscal 2002 year-to-date proforma income and uses a share count of 62,130,000 diluted shares. By division, net sales for the fourth quarter were $34.0 million in the Broadcast and Professional Solutions division, which provides media creation, storage and distribution systems for broadcast and professional applications. Net sales for the quarter were $31.0 million in the Personal Web Video division, which provides digital editing and viewing products for the business and consumer markets. Blended gross margins for the fourth quarter were 54.7%, which was 1.3% higher than in the third quarter, as a result of improved gross margins in both operating divisions. In addition, the Company generated positive cash flow from operations and ended with over $88 million in cash and marketable securities, an increase of more than $8 million during the fourth quarter and more than $40 million for the full fiscal year. J. Kim Fennell, Pinnacle Systems' President and Chief Executive Officer, commented, "We are very pleased that the financial performance of both the Broadcast & Professional and Personal Web Video divisions has consistently improved each quarter since the beginning of the fiscal year. Net sales, gross margins, net income and the company's cash balance have all increased sequentially on a quarterly basis. We are executing to plan and are excited about customer reaction to our leading-edge solutions." Recent operating highlights: The Company will host an audio web-cast at 2:00 p.m. (Pacific
Time) on July 29th, 2002, which can be heard live at www.pinnaclesys.com,
and will be available for at least the following two weeks. About Pinnacle Systems, Inc. This press release contains forward-looking statements that involve risk and uncertainties within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 about the Company's results for the third quarter of fiscal 2002. Actual results may differ materially from the forward-looking statements due to certain risks set forth below. Though the business climate for both the Broadcast & Professional and Personal Web divisions has improved since the first, second and third quarter of fiscal 2002, there can be no assurance that such improvement will continue into future quarters. Any slow down in the economy, or any slow down in the markets into which Pinnacle Systems sells it products, could negatively impact future results. All information set forth in this release and its attachments is as of July 29th, 2002, and the Company undertakes no duty to update this information. More information about potential factors that could affect the company's business and financial results is included in the company's Annual Report on Form 10-K for the fiscal year ended June 30, 2001 and Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2001, including (without limitation) under the caption "Management's Discussion and Analysis of Financial Condition and Results of Operations," which are on file with the Securities and Exchange Commission (the "SEC") and available at the SEC's website at www.sec.gov. Additional information will also be set forth in those sections in the Company's Form 10-K for the fiscal year ended June 30, 2002 which will be filed with the SEC within 90 days after the end of the fiscal year. All trademarks and registered trademarks are the property of their owners, 2001-2002, Pinnacle Systems.
To Release Fourth Quarter Fiscal 2002 Results On July 29th, 2002
MOUNTAIN VIEW, Calif., June 20, 2002 -- Pinnacle Systems, Inc. (NASDAQ:PCLE) today announced that it will be releasing fourth quarter fiscal 2002 results (quarter ending June 30, 2002) on Monday, July 29th, 2002 after the close of market. A financial conference call will follow the earnings release and will begin at 2:00 p.m. PDT on July 29th, 2002. A live audio webcast of the conference call will be available online at www.pinnaclesys.com. For anyone who misses the live call, a replay will be available on Pinnacle Systems website for the following two weeks. About Pinnacle Systems, Inc. All trademarks and registered trademarks are the property of their respective owners, 2001-2002, Pinnacle Systems, Inc.
Appoints J. Kim Fennell President & CEO
MOUNTAIN VIEW, Calif., June 18, 2002 -- Pinnacle Systems, Inc., (NASDAQ:PCLE), a leader in digital video solutions, today announced that it has appointed J. Kim Fennell as the new President and CEO of the company, effective July 1, 2002. Fennell most recently served as President and CEO of StorageWay, a leading storage service provider in Fremont, CA. Prior to StorageWay he was a vice president and officer of Lucent Technologies. Mark Sanders, the President & CEO of Pinnacle Systems for the past twelve years, assumes the role of Chairman of the Board, and will continue to be actively involved in the company. Mark joined Pinnacle Systems in January 1990, and has presided over the growth of the company from a small start-up to a diversified, public, global company with dozens of industry-leading product lines spanning from high-end broadcast to consumer video. Pinnacle grew sales to more than a quarter billion dollars as of last fiscal year and has $80 million in cash (as of the end of last fiscal quarter). Under his leadership, Pinnacle Systems went public in 1994, completed two follow-on public stock offerings, and has grown 25 fold since the IPO, putting it in the top ranks of the fastest growing companies in America. "Kim joins us at a very exciting time," said Mark Sanders, Chairman of the Board at Pinnacle Systems, "bringing skills and experience which are essential for us to continue to grow at the pace we have enjoyed. Pinnacle Systems is very well positioned in the video industry, with deep technology advantages. Kim's extensive sales and marketing talents, combined with his general management capabilities running billion-dollar businesses, and his international experience complement the strengths of Pinnacle's management team. Our goal remains unchanged: We intend to be the dominant provider in the digital video market, and Kim is a great match to take Pinnacle Systems to the next level." As vice president of Lucent Technologies, Fennell was responsible for the Communications Applications Group, a $2 billion business unit focused on Customer Relationship Management (CRM), Internet protocol applications, and their voice and unified messaging business. He then helped spin-off Avaya from Lucent as part of the Avaya executive management team, and continued with responsibilities for the Enterprise Communications Applications business unit. Prior to this, Fennell was an executive at Octel Communications, the global market share leader in voice processing systems, which was ultimately acquired by Lucent in 1997. Fennell joined Octel when it was a startup in 1986 and established and developed several key divisions in succession, including Octel Canada, Octel Europe and Octel International Operations. Before Octel, he held a variety of marketing and sales management positions with Burroughs (now Unisys) and then ROLM Corporation. He graduated from Queens University at Kingston, Ontario, Canada and also the Stanford Executive Program. "I am very pleased to be joining Pinnacle at such a pivotal time in the industry, with so much opportunity in front of it, stated Fennell. "I'm excited about the technology shifts emerging in the broadcast arena as well as the tremendous upsurge of the consumer and professional video industry. Pinnacle is a clearly established leader in its markets, and I look forward to working with Mark Sanders and the whole Pinnacle team, as we take this company through more than its share of explosive growth." "Continued management development and succession planning are characteristic of a company that is built-to-last", commented Pinnacle co-founder, Ajay Chopra. "We are delighted that we have been able to attract a person of Kim's caliber as CEO and we are very pleased that Mark will continue to be actively engaged with the company as Chairman." Chopra has served as Chairman for more than a decade, and will continue as a director as well as a division President. A financial conference call will follow this announcement and will begin at 2:00 p.m. PDT today. A live audio webcast of the conference call will be available online at www.pinnaclesys.com. For anyone who misses the live call, a replay will be available on Pinnacle Systems' website for the following two weeks. About Pinnacle Systems, Inc. This press release contains forward-looking statements that involve risk and uncertainties within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 about the Company's announcement concerning the appointment of J. Kim Fennell. Though Pinnacle Systems believes it is well positioned in the video industry, there can be no assurance that the Company can continue to grow at the pace it has grown in the past. More information about potential factors that could affect the company's business and financial results is included in the company's Annual Report on Form 10-K for the fiscal year ended June 30, 2001 and Quarterly Report on Form 10-Q for the quarterly period ended March. 31, 2002, including (without limitation) under the caption "Management's Discussion and Analysis of Financial Condition and Results of Operations," which are on file with the Securities and Exchange Commission (the "SEC") and available at the SEC's website at www.sec.gov. All trademarks and registered trademarks are the property of their respective owners, 2001-2002, Pinnacle Systems.
To Present at JP Morgan H&Q Technology Conference
MOUNTAIN VIEW, Calif., May 6, 2002 -- Pinnacle Systems, Inc. (NASDAQ:PCLE) today announced that key members of the Pinnacle Systems executive management team will be presenting at the 30th Annual Technology Conference hosted by JP Morgan H&Q at the Westin St. Francis Hotel, San Francisco, California on May 6 at 4:00pm Pacific Time. A live audio web cast of Pinnacle Systems' presentation will be available through the following website: http://php4.eventsdigital.com/events/jpmhq/tech2002 . About Pinnacle Systems, Inc. All trademarks are the property of their respective owners, copyright 2001-2002, Pinnacle Systems.
Reports Results for Third Quarter Fiscal 2002
MOUNTAIN VIEW, Calif., April 23, 2002 -- Pinnacle Systems, Inc. (NASDAQ:PCLE) today announced financial results for the third quarter of fiscal 2002, which ended March 31, 2002. Net sales for the third quarter were $60,670,000. Net income for the third quarter, including acquisition related amortization charges, was a loss of $7,946,000 or $0.14 per share. Proforma net income(*) for the third quarter was a profit of $2,012,000 or $0.03 per share. The proforma supplemental net income information was calculated by excluding $9,158,000 in amortization of acquisition-related intangible assets, assuming a zero percent proforma income tax rate, and using a share count of 60,175,000 diluted shares. Net sales for the third quarter were $31.3 million in the Broadcast and Professional Solutions Division, which provides media creation, storage and distribution systems for broadcast and professional applications. Net sales for the quarter were $29.4 million in the Personal Web Video Division, which provides digital editing and viewing products for the business and consumer markets. Blended gross margins for the third quarter were 53%, more than three points higher than in the second quarter, as a result of improved gross margins in both operating divisions. In addition, the Company generated $10 million in cash during the quarter and ended with $80 million in cash and marketable securities. According to Pinnacle Systems' President and Chief Executive Officer, Mark Sanders, "The financial performance for both the Broadcast & Professional and Personal Web Video divisions has improved significantly since the beginning of this fiscal year. In March, we pre-announced that third quarter results were expected to exceed the consensus estimates, and we are pleased to announce that they did. Net sales, gross margins, net income and the company's cash balance all increased sequentially over both the first and second quarters of this fiscal year." Recent operating highlights: The Company will host an audio web-cast at 2:00 p.m. (Pacific Time) on April 23, 2002, which can be heard live at www.pinnaclesys.com, and will be available for at least the following two weeks. * The pro forma supplemental net income information is presented for informational purposes only, as an aid to understanding the company's operating results. This pro forma information differs from information prepared in accordance with generally accepted accounting principles and should not be considered a substitute for the historical financial information presented in accordance with GAAP. The pro forma measures used by the company may be different from pro forma measures used by other companies. About Pinnacle Systems, Inc. This press release contains forward-looking statements that involve risk and uncertainties within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 about the Company's results for the third quarter of fiscal 2002. Actual results may differ materially from the forward-looking statements due to certain risks set forth below. Though the business climate for both the Broadcast & Professional and Personal Web divisions has improved since the first and second quarter of fiscal 2002, there can be no assurance that such improvement will continue into future quarters. Any slow down in the economy, or any slow down in the markets into which Pinnacle Systems sells it products, could negatively impact future results. All information set forth in this release and its attachments is as of April 23, 2002, and the Company undertakes no duty to update this information. More information about potential factors that could affect the company's business and financial results is included in the company's Annual Report on Form 10-K for the fiscal year ended June 30, 2001 and Quarterly Report on Form 10-Q for the quarterly period ended December. 31, 2001, including (without limitation) under the caption "Management's Discussion and Analysis of Financial Condition and Results of Operations," which are on file with the Securities and Exchange Commission (the "SEC") and available at the SEC's website at www.sec.gov. Additional information will also be set forth in those sections in the Company's Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2002 which will be filed with the SEC within 45 days after the end of the quarter.
To Release Third Quarter Fiscal 2002 Results On April 23, 2002
MOUNTAIN VIEW, Calif., April 4, 2002 -- Pinnacle Systems, Inc. (NASDAQ:PCLE) today announced that it will be releasing third quarter fiscal 2002 results, (quarter ending March 31, 2002), on Tuesday, April 23, 2002 after the close of market. A financial conference call will follow the earnings release and will begin at 2:00 p.m. PDT on April 23, 2002. A live audio webcast of the conference call will be available online at www.pinnaclesys.com. For anyone who misses the live call, a replay will be available on Pinnacle Systems' website for the following two weeks. About Pinnacle Systems, Inc. All trademarks and registered trademarks are the property of their respective owners, 2001-2002, Pinnacle Systems.
Expects To Exceed Consensus Estimates For Third Quarter Fiscal 2002
MOUNTAIN VIEW, Calif., March 25, 2002 -- Pinnacle Systems, Inc. (NASDAQ:PCLE) today announced that it expects to exceed the First Call Earning estimates, as reported by Thomson Financial, for the third quarter of fiscal 2002. Pinnacle Systems currently expects net sales for the third quarter to be between $59 million and $61 million, versus the current First Call consensus sales estimate of $53 million. The Company currently expects that net income in the third quarter will be a loss of between a $0.13 per share and $0.16 per share. Pro forma net income (*), which excludes acquisition-related amortization expense, is expected to be between $0.01 per share to $0.03 per share, versus the current First Call consensus of a pro forma loss of $0.02 per share. Pro forma net income for the third quarter is calculated by excluding approximately $9 million in amortization of acquisition-related intangible assets and assumes a 0% income tax rate. According to Pinnacle Systems' President and Chief Executive Officer, Mark Sanders, "We have been pleased with the improving business climate for both our Broadcast & Professional and Personal Web Video divisions. As a result, we expect financial results for the third quarter to be favorable to the consensus analysts estimates for both revenue and net income." The Company is scheduled to announce final financial results for the third quarter on April 23, 2002. The company will host a financial conference call that same day at 2:00 p.m. (Pacific Time), which will be available live at www.pinnaclesys.com. About Pinnacle Systems, Inc. This press release contains forward-looking statements that involve risk and uncertainties within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 about the Company's preliminary forecasted results for the third quarter of fiscal 2002. Actual results may differ materially from the forward-looking statements due to certain risks set forth below. For example, these forward-looking statements are not based on final results for the quarter but only on the company's current financial projections for the quarter. Since the third quarter does not end until March 31, 2002, there can be no assurance that final results for the quarter will meet the company's current expectations. Though the business climate for both our Broadcast & Professional and Personal Web divisions have improved since the first quarter of fiscal 2002, there can be no assurance that such improvement will continue into future quarters. Any slow down in the economy, or any slow down in the markets into which Pinnacle Systems sells it products, could negatively impact future results. All information set forth in this release and its attachments is as of March 25, 2002, and the Company undertakes no duty to update this information. More information about potential factors that could affect the company's business and financial results is included in the company's Annual Report on Form 10-K for the fiscal year ended June 30, 2001 and Quarterly Report on Form 10-Q for the quarterly period ended December. 31, 2001, including (without limitation) under the caption "Management's Discussion and Analysis of Financial Condition and Results of Operations," which are on file with the Securities and Exchange Commission (the "SEC") and available at the SEC's website at www.sec.gov. Additional information will also be set forth in those sections in the Company's Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2002 which will be filed with the SEC within 45 days after the end of the quarter. (*) The pro forma supplemental net income information is presented for informational purposes only, as an aid to understanding the company's operating results. This pro forma information differs from information prepared in accordance with generally accepted accounting principles and should not be considered a substitute for the historical financial information presented in accordance with GAAP. The pro forma measures used by the company may be different from pro forma measures used by other companies. All trademarks and registered trademarks are the property of their respective owners and are used for identification or reference purposes only, with no intent to infringe on copyrights.
Reports Results for Second Quarter Fiscal 2002
MOUNTAIN VIEW, Calif., January 22, 2002 -- Pinnacle Systems, Inc. (NASDAQ:PCLE) today announced financial results for the second quarter of fiscal 2002, which ended December 31, 2001. Net sales for the second quarter of fiscal 2002 were $59,726,000, 26% higher than net sales during the prior quarter. Net income for the second quarter of fiscal 2002 was a loss of $8,279,000 or $0.15 per share. Proforma net income*, excluding charges, for the second quarter was a profit of $1,013,000 or $.02 per share. The Personal Web Video Division, which provides digital editing and viewing products for consumer and video enthusiasts, generated fiscal second quarter sales of $30.2 million, a 41% sequential increase over sales during the first quarter. The Broadcast and Professional Solutions Division, which provides media creation, storage and distribution systems for broadcast and professional applications generated fiscal second quarter sales of $29.5 million, a 13% sequential increase over sales during the first quarter. Blended gross margins for the second quarter were 50%, nearly six points higher than margins of 44% in the first quarter. In addition, the Company generated over $16 million in cash during the second quarter and ended with a $70.0 million cash balance. According to Pinnacle Systems' President and Chief Executive Officer, Mark Sanders, "the business climate this quarter improved across all product categories from broadcast to consumer, with the introduction and shipment of a number of new and innovative products in time for the holiday and year-end buying season. Investments the company made this last year in new products and technology are now yielding positive results. In addition, our cost reduction programs, streamlined product offerings and organizational changes provided improved efficiencies during the quarter. As a result, we are pleased to report a quarterly increase in net sales, gross margins, net income and positive cash flow as compared to the prior quarter. Though our business trend has clearly been positive these last few months, we are still being cautious in our outlook until these trends become more established. Other notable events during the quarter included completion of the FAST Multimedia acquisition, receiving our eighth "Emmy" award for technical innovation, and our Studio 7 software winning PC Magazines "Editor's Choice" award as well as being named "Best product of 2001" in the multimedia category. The Company will host an audio web-cast at 2:00 p.m. (Pacific Time) on January 22, 2002, which can be heard live at www.pinnaclesys.com, and will be available for the following two weeks. About Pinnacle Systems, Inc. Pinnacle Systems provides cutting-edge digital video creation, storage, streaming and viewing solutions for broadcasters, video professionals and consumers. Pinnacle Systems solutions help enable the creation, management and distribution of video via cable, satellite, video-on-demand (VOD), digital video disks (DVDs) and the Internet, along with consumer editing products for home movie making and DVD creation. The company has won eight Emmy Awards for its technical innovations for broadcast products and carries its commitment throughout all of its product lines. Pinnacle Systems may be reached at 650-526-1600 or at www.pinnaclesys.com. *Proforma net income, excluding charges, for the second quarter of fiscal 2002 exclude $9,103,000 in amortization of acquisition-related intangible assets, assumes a proforma income tax rate of 0%, and is based on a diluted share count of 57,269,000. This press release contains forward-looking statements that involve risk and uncertainties within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 about the Company's preliminary results for the second quarter of fiscal 2002. Actual results could differ materially from the forward-looking statements due to certain risks set forth below. There can be no assurance that the improved business trend during the second fiscal quarter will continue, or that the economy will rebound any time soon. A continuing slow economy may negatively impact results in fiscal 2002. There also can be no assurance new products and technology will continue to yield positive financial results. Delays in future products or technology developments could have a negative impact on the Company's future performance. All trademarks and registered trademarks are the property of their respective owners and are used for identification or reference purposes only, with no intent to infringe on copyrights.
Announces Earnings Conference Call MOUNTAIN VIEW, Calif., January 21, 2002--Pinnacle Systems, Inc. (NASDAQ:PCLE), a leader in digital video editing solutions, will hold its quarterly conference call to discuss second quarter results for fiscal 2002 on Tuesday, January 22, 2002, at 5:00 p.m. Eastern Time (2 p.m. Pacific Time). This call is being webcast by CCBN and can be accessed at Pinnacle Systems's web site at www.pinnaclesys.com. The webcast is also being distributed over CCBN's Investor Distribution Network to both institutional and individual investors. Individual investors can listen to the call through CCBN's individual investor center at www.companyboardroom.com or by visiting any of the investor sites in CCBN's Individual Investor Network such as America Online's Personal Finance Channel, Fidelity Investments(r) (Fidelity.com) and others. Institutional investors can access the call via CCBN's password-protected event management site, StreetEvents (www.streetevents.com). StreetEvents allows institutional investors to identify, organize, and track the hundreds of conference calls that occur each day during earnings season, to download events of interest to their Outlook calendar, and to RSVP to events online. About Pinnacle Systems, Inc. Pinnacle Systems' broadcast, desktop, and consumer products provide video professionals and consumers cutting-edge digital video tools to create, store, distribute and view web enabled digital video easier and more affordably than ever before.
|