Asure Software Announces Financial Results for the 2009 Fiscal First Quarter
AUSTIN, TX, Dec 16, 2008 (MARKET WIRE via COMTEX News Network) -- Asure Software (NASDAQ: ASUR), a leading provider of workforce management software, today announced financial results for the 2009 fiscal first quarter, ended October 31, 2008.
- Asure Software increased its gross margin percentage to 80% in Q1 2009
compared to 78% in Q4 2008.
- Completion of the assignment of the Company's headquarters lease is
anticipated to be effective in January 2009, resulting in a reduction of
expenses of approximately $200,000 per quarter.
"The current economic downturn accelerated during Asure Software's 2009 fiscal year first quarter, and its effects cannot be ignored," commented Richard Snyder, Chairman and Chief Executive Officer of Asure Software. "However, while our revenues in the first quarter softened as compared with the prior quarter, we achieved an increase in our gross margin percentage of 2% for the same period and continued to see solid demand in our key markets."
Mr. Snyder continued, "Our business model positions us well in an adverse economy. This is because we offer our customers cost savings and operational flexibility in the key area of workforce management, where companies typically incur 40% to 60% of their overhead costs. We have retooled our products and services to provide cost-effective implementation and turn-key ease of use, and believe that we have the cost-cutting workforce management solutions that companies are seeking in this challenging economy."
Additional First Quarter Highlights
Sequentially, Asure's total revenues declined approximately 3% in Q1-2009, to $2.8 million, from $2.9 million in Q4-2008.
Selling, general and administrative expenses increased by approximately 11% in Q1-2009, to $3.2 million, compared to $2.9 million in Q4-2008. This increase was primarily due to an increase in legal expenses associated with litigation relating to the assignment of the Company's headquarters lease in Austin, TX.
At October 31, 2008, the Company had working capital of $8.6 million, and cash, cash equivalents and short-term investments of $13.8 million on its balance sheet.
Conference Call Details
Asure Software has scheduled a conference call for today, December 16, 2008 at 11:00 a.m. ET (10:00 a.m. CT) to discuss its most recent financial results and outlook. Participating in the call will be Richard Snyder, Chairman and Chief Executive Officer; Jay Peterson, Vice President Finance; and Nancy Harris, Chief Operating Officer.
To take part, please dial 866-825-3209 ten minutes before the conference call begins, ask for the Asure Software event and use passcode 27645932. International callers should dial 617-213-8061 and reference the same passcode, 27645932.
Investors, analysts, media and the general public will also have the opportunity to listen to the conference call in listen-only mode via the Internet by visiting the investor relations page of Asure's web site at www.asuresoftware.com. To monitor the live call, please visit the web site at least 15 minutes early to register, download and install any necessary audio software. For those who cannot listen to the live broadcast, an archived replay will be available shortly after the call on the investor relations page of the Company's web site at www.asuresoftware.com.
About Asure Software
Headquartered in Austin, Texas, Asure Software (ASUR), (a d/b/a of Forgent Networks, Inc.), empowers small to mid-size organizations and divisions of large enterprises to operate more efficiently, increase worker productivity and reduce costs through a comprehensive suite of on-demand workforce management software and services. Asure's market-leading suite includes products that optimize workforce time and attendance tracking, benefits enrollment and tracking, pay stubs and W2 documentation, expense management, meeting and event management, and asset tracking and reservations. With additional offices in Seekonk, Mass., Vancouver, British Columbia, and Mumbai, India, Asure serves 3,500 customers around the world. For more information, please visit www.asuresoftware.com.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding Forgent's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. Such risks and uncertainties could cause actual results to differ from those contained in the forward-looking statements.