Tibco reports fiscal Q2 results

Total revenues for the second quarter of fiscal 2006 were $121.2 million, and net income was $24.5 million, or $0.11 per diluted share. This compares to total revenue of $101.4 million and net income of $21.7 million, or $0.10 per diluted share, as reported for the second quarter of fiscal 2005. Net income includes employee stock-based compensation expense due to the newly adopted SFAS 123 of $3.7 million for the second quarter of fiscal 2006.
Net income prior to fiscal 2006 did not include employee stock-based compensation expense related to SFAS 123.

On a non-GAAP basis, net income for the second quarter of fiscal 2006 was $16.9 million or $0.08 per diluted share, compared with $8.6 million or $0.04 per diluted share for the second quarter of fiscal 2005. Non-GAAP operating income for the second quarter of fiscal 2006 was $22.4 million, resulting in non-GAAP operating margins of 18.4%. This compares to non-GAAP operating income of $10.5 million, or 10.3% in the second quarter of fiscal 2005. Non-GAAP results exclude stock based compensation expense, amortization of acquired intangible assets and restructuring charges, and the income tax effects of the foregoing, as well as adjustments for the impact of changes in the valuation allowance recorded against TIBCO's deferred tax assets, and assume a non-GAAP effective tax rate of 37% for fiscal 2006 and 38% for fiscal 2005.

"I believe our focus on delivering leading solutions across our platform is paying off with customers, given our year over year license revenue growth," said Vivek Ranadive, Chairman and CEO of TIBCO. "In particular, our commitment to and focus on service-oriented architecture (SOA) - the dominant enabling architecture for becoming an event-driven enterprise - is an important opportunity for our future growth. Our SOA approach provides a key differentiator for our business process management (BPM) and Predictive Business offerings."

Highlights for TIBCO's Second Quarter of Fiscal 2006

• Year over year growth across all geographic regions with the Americas up by 15%, EMEA up by 16% and with particular strength in Asia Pacific, up by 59%.
• TIBCO's core industry markets experienced year over year growth led by telecommunications up by 101%, energy up by 23% and financial services up by 7%. In addition, TIBCO had particular strength in its government business which grew over 200% year over year.
• 92 deals over $100,000 and 14 deals over $1 million during the quarter.
• TIBCO made significant sales to both new and existing customers, including Allegis, Claire Stores, Electronic Arts, QUALCOMM, Virgin Mobile and Wachovia.