NetSuite announces record second quarter 2010 financial results and raises outlook for fiscal year 2010
Reports Record Revenue of $47.1 Million, 17% Growth over Prior Year Recurring Revenue Grows 19% Year-over-Year to $39.8 Million Reports Record Non-GAAP Operating Income and Non-GAAP Net Income Reports Record Calculated Bookings, Increasing 23% Year-over-Year Posts Quarterly Operating Cash Flow of $4.5 Million, a 234% Increase vs. Q2'09
SAN MATEO, Calif. — August 5, 2010 —NetSuite Inc. (NYSE: N), the industry's leading provider of cloud-based financials / ERP software suites, today announced operating results for its second quarter ended June 30, 2010.
Total revenue for the second quarter of 2010 was $47.1 million, representing a 17% increase over the prior year. Subscription and support revenue for the second quarter was $39.8 million, representing 19% growth over the prior year. Calculated bookings for the quarter reached $48.2 million, representing the highest quarterly total in the Company's history and growing 23% year-over-year. Calculated bookings is defined as the change in total deferred revenue plus revenue.
GAAP operating loss for the second quarter of 2010 was $7.0 million, compared to a GAAP operating loss of $5.0 million in the second quarter of 2009. On a GAAP basis, net loss for the second quarter of 2010 was $7.2 million, or $(0.11) per share, as compared to a net loss of $5.0 million, or $(0.08) per share in the second quarter of 2009.
Non-GAAP operating income for the second quarter of 2010 improved 219% year-over-year, growing to $2.2 million, as compared to non-GAAP operating income of $674,000 in the second quarter of 2009. Non-GAAP net income for the second quarter of 2010 was $1.9 million, or $0.03 per share, as compared to non-GAAP net income of $687,000, or $0.01 per share, for the second quarter of 2009.
"NetSuite's strong second quarter financial performance, driven by accelerating growth in bookings, revenue and profitability, is the result of broad acceptance by mid-sized organizations and divisions of large enterprises of our industry-leading ERP cloud computing suite," said Zach Nelson, CEO of NetSuite. "We are raising our 2010 outlook substantially based on the accelerating adoption of NetSuite's cloud computing applications by enterprises around the world."
About NetSuite
NetSuite Inc. is a leading vendor of cloud computing business management software suites. NetSuite enables companies to manage core key business operations in a single system, which includes Enterprise Resource Planning (ERP), Accounting, Customer Relationship Management (CRM), and Ecommerce. NetSuite's patent-pending "real-time dashboard" technology provides an easy-to-use view into up-to-date, role-specific business information. For more information about NetSuite Inc., please visit www.netsuite.com.
NOTE: NetSuite and the NetSuite logo are registered service marks of NetSuite Inc.
