CLICKACTION ANNOUNCES Q3 2001 EARNINGS
Company Reaffirms Projected EPS of $0.07 to $0.10 in 2002
PALO ALTO, Calif. (October 25, 2001) - ClickAction,
Inc. (Nasdaq: CLAC), a leading provider of email marketing automation products and services, announced today that its total revenue for Q3 2001 was $2.4 million, a decrease of 35% from $3.6 million in Q3 2000, excluding discontinued operations as a result of the sale of the Elibrium division in Q2 2001. The net loss from continuing operations for Q3 2001, excluding restructuring and impairment charges of $4.8 million or $0.37 per share, was $2.3 million or $0.18 per share compared to a net loss from continuing operations of $2.2 million or $0.18 per share for Q3 2000. For the nine months ended September 30, 2001, ClickAction's total revenue was $12.8 million, an increase of 98% from $6.5 million in the same period last year, excluding discontinued operations. The net loss from continuing operations, excluding restructuring and impairment charges, for the nine months ended September 30, 2001 was $3.2 million or $0.25 per share compared to a net loss from continuing operations of $8.2 million or $0.71 per share for the same period last year. The continuing operations represent businesses that were not part of the Elibrium division.
For the quarter ended September 30, 2001, ClickAction realigned its business focus, wrote off impaired assets and undertook efforts to reduce operating expenses. In connection with these efforts, ClickAction recorded restructuring and impairment charges of $4.8 million or $0.37 per share.
As of September 30, 2001, ClickAction had approximately $3.0 million in cash and cash equivalents, a $1.5 million note receivable and $2.4 million in net accounts receivable. ClickAction expects to have adequate cash flow to reach profitability in 2002.
"During the third quarter of 2001, ClickAction experienced a heightened interest and significant growth in our current ASP business," said George Grant, president and CEO for ClickAction. "Recently, we have signed with some very large companies, including Columbia House, a leading global publisher of consumer entertainment and a leading global telecommunications company. We have also resigned contracts with our major publishing and retail clients. Winning new clients and resigning many of our current major clients further validates our significant role in this industry."
"Our sales pipeline is strong for the fourth quarter and the Company continues to focus our sales efforts on Global 2000 clients. Also, ClickAction will be enhancing our Email Marketing Automation (EMA) ASP product line during the fourth quarter. Another major milestone which allows us to offer industry-first, value-added services to our clients and prospects." concluded Grant.
The Company reaffirms projected revenue for Q4 2001 to be in the range of $3.1 million to $3.4 million and EPS to be in the range of ($0.03) to $0.00. ClickAction also reaffirms projected EPS of $0.07 to $0.10 in 2002.
About ClickAction, Inc.
ClickAction, Inc. is a leading provider of email marketing automation products and services. ClickAction Email Marketing Automation (EMA) helps marketers design, deploy and manage personalized email campaigns that maximize the lifetime value of each customer. ClickAction EMA saves time, generates revenues and reduces costs by providing a highly scalable outbound and inbound messaging, one-to-one publication, powerful rule-based segmentation, real-time tracking and detailed reporting, all integrated in a Web-based solution. 100% Java-based, ClickAction EMA is built for easy deployment and integration with industry-leading third party applications. ClickAction EMA products and services range from fully hosted ASP applications to licensable, enterprise-class software. ClickAction products have a proven track record of success in a variety of industries including retail, catalog, brand and publishing. In addition to ClickAction EMA, the Company offers interactive, campaign, acquisition and rich media services. ClickAction is a member of TRUSTe, an independent, non-profit organization whose mission is to build users' trust and confidence in the Internet. For more information on ClickAction products and services, visit www.clickaction.com
or call 1-800-473-3141.
Forward Looking Statements
Some of the statements included in this press release are "forward-looking statements." These forward-looking statements include, but are not limited to, statements about our plans, projections, expectations and intentions, and other statements that are not historical facts. When used in this press release, the words "anticipates," "believes," "projects," "expects," "intends," "will" and "may" or the negative of these terms or similar expressions are generally intended to identify forward-looking statements. Such statements are based on current expectations that involve a number of uncertainties and risks. Such uncertainties and risks include, but are not limited to, the development of new products and services, the enhancement of existing products and services, the dependence on principal customers and partners, competitive pricing pressures, timing of orders received, introduction of competitive products and services having technological and/or pricing advantages, the overall dynamics of the industry, including the extent of industry consolidation, and general economic conditions. For further information, refer to the risk factors included in the Company's Annual Report on Form 10-K, as amended, for the year ended December 31, 2000 and the Company's Quarterly Report on Form 10-Q for the quarter ended June 30, 2001, each as filed with the Securities and Exchange Commission.