PGi Reports First Quarter 2012 Results: Organic Revenues Grew Nearly 9%* to $126.6M; Non-GAAP Diluted EPS from Continuing Operations $0.18*
Company Increases Financial Outlook for 2012
ATLANTA, April 19, 2012 -
Premiere Global Services, Inc. (NYSE: PGI), a global leader in virtual meetings for 20 years, today announced results for the first quarter ended March 31, 2012.
In the first quarter of 2012, revenues as reported increased 8.3% to $126.6 million, compared to $116.9 million in the first quarter of 2011. Diluted EPS from continuing operations was $0.13 and non-GAAP diluted EPS from continuing operations was $0.18* in the first quarter of 2012, compared to diluted EPS from continuing operations of $0.06 and non-GAAP diluted EPS from continuing operations of $0.12* in the first quarter of 2011.
“During the first quarter, we continued to show solid momentum across our global business,” said Boland T. Jones, PGi founder, chairman and CEO. “At the same time, we are making great progress in transitioning PGi toward a software as a service model, as we continue to increase both our direct sales of iMeet® and GlobalMeet® and the number and quality of our distribution partners worldwide. As a result, we remain optimistic in our outlook for the remainder of the year.”
First Quarter 2012 Accomplishments
- Reported nearly 9% organic revenue growth as compared to the first quarter of 2011;
- Reported non-GAAP diluted EPS from continuing operations growth of over 50% as compared to the first quarter of 2011;
- Grew the annual revenue run-rate from iMeet and GlobalMeet by greater than 22% as compared to the fourth quarter of 2011;
- Provisioned over 11,000 iMeet and GlobalMeet licenses worldwide;
- Announced a multi-year, multi-million dollar strategic alliance with Deutsche Telekom, naming the integrated telecommunications company as the exclusive reseller of iMeet in Germany.
- iMeet selected as a finalist in the Best New Product category for the internationally renowned 2012 Edison Awards; and
- Repurchased nearly 250,000 shares of common stock in the open market under our share repurchase plan.
The following statements are based on PGi’s current expectations. These statements contain forward-looking statements and company estimates, and actual results may differ materially. PGi assumes no duty to update any forward-looking statements made in this press release.
Based on the strength of its first quarter results and current business trends, PGi increased its financial outlook for 2012. Based on current trends and foreign currency exchange rates, PGi now anticipates net revenues from continuing operations in 2012 will be in the range of $500-$510 million and non-GAAP diluted EPS from continuing operations will be in the range of $0.72-$0.75*.
PGi will host a conference call today at 5:00 p.m., Eastern Time, to discuss these results. To participate in the call, please dial-in to the appropriate number 5-10 minutes prior to the scheduled start time: (888) 211-4495 (U.S. and Canada) or (913) 312-1396 (International). The conference call will simultaneously be webcast. Please visit www.pgi.com for webcast details and conference call replay information, as well as the webcast archive and the text of the earnings release, including the financial and statistical information to be presented during the call.
*Non-GAAP Financial Measures
To supplement the company’s consolidated financial statements presented in accordance with GAAP, we have included the following non-GAAP measures of financial performance: non-GAAP operating income, non-GAAP net income from continuing operations, non-GAAP diluted net income per share (EPS) from continuing operations and organic growth. The company has also included these non-GAAP measures, as well as net revenues and segment net revenues, on a constant currency basis. Management uses these measures internally as a means of analyzing the company’s current and future financial performance and identifying trends in our financial condition and results of operations. We have provided this information to investors to assist in meaningful comparisons of past, present and future operating results and to assist in highlighting the results of ongoing core operations. Please see the table attached for calculation of these non-GAAP financial measures and for reconciliation to the most directly comparable GAAP measures. These non-GAAP financial measures may differ materially from comparable or similarly titled measures provided by other companies and should be considered in addition to, not as a substitute for or superior to, measures of financial performance prepared in accordance with GAAP.
About Premiere Global Services, Inc. | PGi
PGi has been a global leader in virtual meetings for 20 years. Our cloud-based solutions deliver multi-point, real-time virtual collaboration using video, voice and file sharing technologies. PGi solutions are available via desktops, tablets or mobile devices, helping businesses worldwide be more productive, mobile and green. PGi has a global presence in 25 countries and an established base of more than 35,000 enterprise customers, including 75% of the Fortune 100™. In the last five years, we have hosted more than 725 million people from 137 countries in over 65 million meetings.
For more information, visit us at http://www.pgi.com.
# # #Statements made in this press release, other than those concerning historical information, should be considered forward-looking and subject to various risks and uncertainties. Such forward-looking statements are made pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and are made based on management’s current expectations or beliefs as well as assumptions made by, and information currently available to, management. A variety of factors could cause actual results to differ materially from those anticipated in Premiere Global Services, Inc.’s forward-looking statements, including, but not limited to, the following factors: competitive pressures, including pricing pressures; technological changes and the development of alternatives to our services; market acceptance of new cloud-based, virtual meeting services, including our iMeet® and GlobalMeet® services; our ability to attract new customers and to retain and further penetrate our existing customers; risks associated with challenging global economic conditions; price increases from our telecommunications service providers; service interruptions and network downtime; technological obsolescence and our ability to upgrade our equipment or increase our network capacity; concerns regarding the security of transactions; future write-downs of goodwill or other intangible assets; greater than anticipated tax liabilities; restructuring and cost reduction initiatives and the market reaction thereto; our level of indebtedness; risks associated with acquisitions and divestitures; the impact of the sale of our PGiSend business; our ability to protect our intellectual property rights, including possible adverse results of litigation or infringement claims; regulatory or legislative changes, including further government regulations applicable to traditional telecommunications service providers and data privacy; risks associated with international operations and market expansion, including fluctuations in foreign currency exchange rates; and other factors described from time to time in our press releases, reports and other filings with the Securities and Exchange Commission, including but not limited to the “Risk Factors” section of our Annual Report on Form 10-K for the year ended December 31, 2011. All forward-looking statements attributable to us or a person acting on our behalf are expressly qualified in their entirety by this cautionary statement.