Interactive Intelligence, a provider of contact center, business process automation and enterprise unified communications solutions, has announced financial results for the third quarter, which ended September 30, 2010. Initial results are strong, showing the company has enjoyed a successful year.
Interactive Intelligence (News - Alert) reported total revenues of $41.8 million, which represents a 26 percent increase in revenues over $33.2 million in the same quarter of 2009. Net income based on generally accepted accounting principles (GAAP) had a basis of $3.5 million and diluted earnings per share (EPS) of $0.19. The third quarter of 2009 produced $2.8 million in net income and an EPS of $0.15.
Net-income classified as non-GAAP was $6.9 million, with EPS of $0.37, an increase from $5.7 non-GAAP income in 2009, with an EPS of $0.31 in the same quarter last year. Both numbers for the third quarter of 2010 excluded a stock-based compensation expense of roughly $1.0 million, or EPS of $0.06, and non-cash income tax expense of $2.4 million, or EPS of $0.12.
For the third-quarter of 2009, non-GAAP net income and EPS excluded stock-based compensation expense of $975,000, or EPS of $0.05. The non-cash income tax expense of $1.9 million or EPS of $0.11 was also excluded from that figure. The cash and investment balances as of September 30, 2010 were $85.5 million and the company currently has no debt.
“Our performance during the quarter was strong across North America, Europe, Middle East, Africa, and specific regions throughout Asia-Pacific,” said Interactive Intelligence founder and CEO, Dr. Donald E. Brown, in a statement.
“As we reported in our preliminary third-quarter announcement, we closed a number of large orders during the quarter, which was a main contributor to our increased revenues and earnings. We continue to execute on our strategy of moving up-market, with record average dollar amounts for new orders. We’re also seeing strong increases in new cloud-based communications orders, positively building our recurring revenue base.”
For the first nine months of 2010, Interactive Intelligence enjoyed strong results:
--$115.7 million in total revenues, representing a 21 percent increase over $95.5 million in the first nine months of 2009
--Expenses primarily due to foreign exchange losses were $801,000, compared with $938,000 for the same period last year
--GAAP net income totaled $7.8 million or EPS of $0.42, compared with $6.1 million or EPS of $0.34 in the first nine months of 2009
--$16.0 million in non-GAAP income or EPS of $0.86, compared with $12.9 million or EPS of $0.71 for the same period in 2009.
The company has also enjoyed strategic successes as well. Just last month, TMCnet reported that Interactive Intelligence had acquired Global Software Services Inc., doing business as Latitude Software.
Latitude recorded revenue of approximately $7.8 million on a trailing twelve month basis ending Sept. 30, 2010. This figure represents an increase of 46 percent over its revenues during the prior twelve month period. Latitude has no outstanding debt.
Brown referred to this acquisition as a reflection of the company’s ongoing growth strategy through its strong cash position to add industry-specific applications and expertise to its already strong portfolio.
Interactive Intelligence has also been acknowledged with a number of rewards this year, including Network Products Guide's Reader's Trust award for Interaction SIP Station; TMC (News - Alert) Labs Unified Communications Innovation award for communications-based process automation product, Interaction Process Automation; and Frost & Sullivan’s (News - Alert) Technology Company of the Year award.
Susan J. Campbell is a contributing editor for TMCnet and has also written for eastbiz.com. To read more of Susan’s articles, please visit her columnist page.
Edited by Patrick Barnard