|
 |
Handspring Press Release Archive
HANDSPRING POSTS STRONG FOURTH QUARTER REVENUES, SHOWS 51% SEQUENTIAL GROWTH
MOUNTAIN VIEW, CALIF. (July 20, 2000) - Handspring, Inc. (NASDAQ: HAND) today posted revenues of $51.8 million for the fourth quarter of fiscal year 2000 ended July 1, 2000. Quarterly revenues increased 51% over Q3 due to a strong entry into the U.S. retail market, new distribution channels in Canada, Europe and Japan and continued momentum of direct sales of its Visor™ line of handheld computers and Springboard™ expansion products.
"We are pleased to report such outstanding results in our first quarter as a public company. The significant sequential revenue increase demonstrates strong consumer acceptance of our Visor products and our Springboard platform," said Donna Dubinsky, founder and CEO of Handspring. "In addition to our ongoing direct Internet sales, our retail partners in the U.S., Europe and Japan all experienced excellent sell-through for our products."
Total fiscal year 2000 revenues were $101.9 million, reflecting brisk sales of Visor, Springboard expansion modules and accessories. Excluding amortization of deferred stock compensation, Handspring reported a net loss of $5.9 million during Q4, while net loss for fiscal year 2000 was $20.2 million. In line with company expectations, Handspring showed gross margins of 31% for the quarter. Excluding amortization of deferred stock compensation, total operating expenses were $22.1 million, or 43% of revenue.
Including amortization of deferred stock compensation, net loss for the quarter was $19.5 million, while net loss for the fiscal year was $60.3 million.
"This quarter, we invested heavily in new product development, international expansion, and developer programs," Dubinsky added. "We have been particularly pleased with the growing acceptance of our Springboard platform in the developer community, with over 4,000 developers now registered for our program." Handspring made several major announcements during the quarter. In April, the company began selling Visor handheld computers through national U.S. retail partners Best Buy, CompUSA and Staples, after selling exclusively online for the first six months of product availability. To increment its online sales, Handspring also formed a reseller relationship with Amazon.com, which implemented a Visor department in its popular online consumer electronics store.
In May, Handspring opened its European headquarters in Geneva, Switzerland. The company sells English and German language Visor handheld computers and Springboard modules in 26 European countries via handspring.com, and through select retail and mail order partners. Handspring also opened its Japanese headquarters in Tokyo during Q4, and launched the sale of Japanese language Visor handheld computers through both direct distribution at handspring.com and retail sales through leading retailers.
With many Springboard products from third-party developers first shipping in the quarter, Handspring opened its online Springboard module store. Products now available include the eyemodule™ digital camera from IDEO, a Physician's Desk Reference from Franklin Electronic Publishers, the Intelligolf™ module from Karrier Communications, the OmniRemote™ universal remote control from Pacific Neo-Tek, the Wristband™ Thincom™ portable modem from Card Access, and electronic book modules from Landware. Other recently announced modules scheduled to ship this fall include the Novatel Minstrel™ Springboard modem module which will give Visor customers wireless access to the Internet and e-mail via the OmniSky™ service among others, the Geode™ GPS system from Geodiscovery, and the MiniJam™ MP3 player from Innogear.
Additionally, Handspring completed a Springboard licensing agreement in June with Symbol Technologies, which will integrate the Springboard expansion slot into next-generation versions of its handheld computing products targeted at the enterprise and vertical markets.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements that involve risks and uncertainties, including those relating to the growing acceptance of the Springboard platform, the availability of new modules this fall, and the successful integration of Springboard into next generation handheld computers. Actual results may differ materially due to a number of factors including, among others, the company's limited operating history, the ability of the company's suppliers to meet demand, consumer acceptance of the Springboard expansion slot, and the rapid pace of technological change and competitive developments in the handheld computer industry. Reported results should not be considered as an indication of future performance. The matters discussed in this press release also involve risks and uncertainties described in the company's Form S-1 Registration Statement filed with Securities and Exchange Commission. The company assumes no obligation to update the forward-looking information contained in this press release.
ABOUT HANDSPRING
Handspring is a leading innovator in the handheld computing industry. The company develops, manufactures and markets a family of expandable handheld computers for a broad range of markets and customers.
Founded in 1998 by the creators of the world-leading Palm Computing platform, Handspring's flagship technology is the Springboard platform that provides a simple and easy method for hardware and software expansion. Today Handspring sells its Visor line of handheld computers, along with a line of Springboard expansion modules and accessories, at handspring.com and through select Internet and retail partners in the U.S., Canada, Europe and Japan.
Handspring, the Handspring logo, Visor and Springboard are trademarks of Handspring, Inc. and may be registered in certain jurisdictions. All other brand names are trademarks of their respective owners.
HANDSPRING, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)
Quarter Ended Year Ended
July 1, 2000 July 1, 2000
--------- ---------
Revenue $ 51,826 $ 101,937
--------- ---------
Costs and operating expenses:
Cost of revenue 35,750 69,921
Research and development 3,548 10,281
Selling, general and administrative 18,536 42,424
Amortization of deferred stock
compensation 13,657 40,077
--------- ---------
Total costs and operating expenses 71,491 162,703
--------- ---------
Loss from operations (19,665) (60,766)
Interest and other income, net 338 675
--------- ---------
Net loss before taxes (19,327) (60,091)
Income tax provision 200 200
--------- ---------
Net loss $ (19,527) $ (60,291)
========= =========
Basic and diluted net loss per
share $ (0.43) $ (1.77)
========= =========
Shares used in calculating
basic and diluted net
loss per share 44,966 34,015
========= =========
Pro forma net loss excluding
amortization of deferred
stock compensation $ (5,870) $ (20,214)
========= =========
Pro forma basic and diluted
net loss per share $ (0.13) $ (0.59)
========= =========
HANDSPRING, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
July 1, 2000 April 1, 2000
--------- ---------
(unaudited)
ASSETS
Current assets:
Cash and cash equivalents $ 196,548 $ 17,407
Accounts receivable, net 20,484 13,736
Prepaid expenses and other current
assets 1,816 1,688
--------- ---------
Total current assets 218,848 32,831
Property and equipment, net 8,280 5,033
Other assets 3,344 787
--------- ---------
Total assets $ 230,472 $ 38,651
========= =========
LIABILITIES, REDEEMABLE CONVERTIBLE
PREFERRED STOCK AND STOCKHOLDERS'
EQUITY (DEFICIT)
Current liabilities:
Accounts payable $ 20,152 $ 17,007
Accrued liabilities 16,034 9,527
--------- ---------
Total current liabilities 36,186 26,534
Long-term liabilities 57 64
Redeemable convertible preferred stock -- 27,962
Stockholders' equity (deficit):
Common stock 125 74
Additional paid-in capital 321,116 96,580
Deferred stock compensation (58,268) (63,458)
Accumulated other
comprehensive income (loss) (64) 48
Accumulated deficit (68,680) (49,153)
--------- ---------
Total stockholders' equity (deficit) 194,229 (15,909)
--------- ---------
Total liabilities, redeemable
convertible preferred stock, and
stockholders' equity (deficit) $ 230,472 $ 38,651
========= =========
|
|