Vancouver, BC, October 3, 2002
— Pivotal Corporation (Nasdaq: PVTL; TSE: PVT), the leading provider of customer relationship management (CRM) software for mid-sized enterprises, today announced preliminary financial results for the quarter ended September 30, 2002.
The company expects revenues for the quarter will be in the range of $12 million to $13 million with $3 to $4 million in license revenue. Total costs for the quarter will be in line with guidance.
“We are disappointed with our results this quarter and we’re taking decisive action to improve our profitability,” said Bo Manning, Pivotal president and CEO. “We are implementing both immediate and long-term initiatives to reduce our cost structure and achieve our stated goal of profitability in the second half of our fiscal year.”
As part of the company’s strategic plan for the mid-enterprise market, Pivotal also announced the signing of a definitive agreement to acquire MarketFirst Software, a privately held company in Mountain View, California that provides marketing automation software.
According to Manning, “We believe that MarketFirst is the leading provider of marketing automation solutions. Mid-sized enterprises are increasingly looking to marketing automation as a cost effective, fast way to increase revenue and decrease the cost of customer acquisition. The acquisition met all of our key strategic and financial acquisition criteria.”
During the quarter, Pivotal added 23 new customers, and 58 existing customers made additional purchases.
According to Manning, “We now have more than 1,500 customers to target with our new marketing automation capabilities and the new contact center capabilities that we launched earlier this quarter. These products, and other upcoming product initiatives, will expand Pivotal’s opportunity with existing customers and the market at large.”
Pivotal Corporation is the number one choice for mid-enterprise CRM. The company is 100 percent purpose-built to serve the unique requirements of mid-sized enterprises. Pivotal delivers software and services that produce meaningful increases in revenues, margins and customer loyalty for companies and business units in the revenue range of $100 million to $3 billion. More than 1,500 companies around the world use Pivotal including: CIBC, Centex Homes, HarperCollins Publishers, Hitachi Telecom Inc., Premera Blue Cross, Royal Bank of Canada, Southern Company, and Vivendi.
Pivotal's complete CRM software suite includes capabilities in marketing, sales, service, contact centers, partner management and interactive selling. For more information, visit www.pivotal.com.
Statements made herein and in today’s conference call may contain forward-looking information about management’s expectations, strategic objectives, business prospects, anticipated financial performance and other similar matters. The estimated results included are preliminary and subject to change based upon Pivotal’s completion of accounting procedures with respect to the first quarter ended September 30, 2002, and therefore are forward-looking statements. A variety of factors, many of which are beyond our control, affect the operations, performance and business strategy and results of Pivotal and could cause actual results and experiences to differ materially from the expectations and objectives expressed in these statements. These factors include, but are not limited to, the factors described in the company’s 2002 annual report on Form 10-K, in addition to reports on Form 8-K and Form 10-Q, which are available at the SEC’s Web site at www.sec.gov. Pivotal undertakes no responsibility to update or revise any forward-looking statements.
Jacqueline Voci, Pivotal Corporation