<PAGE>
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
[X] Quarterly report pursuant to section 13 or 15(d) of the Securities
Exchange Act of 1934 for the quarterly period ended June 30, 1997 or
-------------
[_] Transition report pursuant to section 13 or 15(d) of the Securities
Exchange Act of 1934 for the transition period from ____________ to
___________
Commission file number 0-14232
SunGard(R) Data Systems Inc.
--------------------------------------------------------
(Exact name of registrant as specified in its charter)
Delaware 51-0267091
- -------------------------------- ---------------------------------
(State or other jurisdiction of (IRS Employer Identification No.)
incorporation or organization)
1285 Drummers Lane, Wayne, Pennsylvania 19087
---------------------------------------------
(Address of principal executive offices, including zip code)
(610) 341-8700
---------------------------------------------
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes X No
--- ---
There were 43,182,788 shares of the registrant's common stock, par value $.01
per share, outstanding at June 30, 1997.
<PAGE>
SunGard Data Systems Inc.
Index
<TABLE>
<CAPTION>
Page
----
<S> <C>
Part I. Financial Information
Item 1. Financial Statements:
Consolidated Balance Sheets as of June 30, 1997
(unaudited) and December 31, 1996........................ 1
Consolidated Statements of Income for the six and three
months ended June 30, 1997 and 1996 (unaudited).......... 2
Supplemental Income Statement Information for the six and
three months ended June 30, 1997 and 1996 (unaudited).... 2
Consolidated Statements of Cash Flows for the six months
ended June 30, 1997 and 1996 (unaudited)................. 3
Notes to Consolidated Financial Statements (unaudited)... 4
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operation....................... 6
Part II. Other Information
Item 1. Legal Proceedings........................................ 10
Item 2. Changes in Securities.................................... 10
Item 3. Defaults upon Senior Securities.......................... 10
Item 4. Submission of Matters to a Vote of Security Holders...... 10
Item 5. Other Information........................................ 10
Item 6. Exhibits and Reports on Form 8-K......................... 10
Signatures........................................................ 11
</TABLE>
<PAGE>
Part I. FINANCIAL INFORMATION
Item 1. Financial Statements
- ----------------------------
SunGard Data Systems Inc.
Consolidated Balance Sheets
(In thousands, except per share amounts)
<TABLE>
<CAPTION>
June 30,
1997 December 31,
(Unaudited) 1996
----------- ------------
<S> <C> <C>
Assets
Current:
Cash and equivalents.................................................................$ 31,184 $ 46,072
Trade receivables, less allowance for doubtful accounts of $13,633 and $10,391....... 142,506 130,404
Earned but unbilled receivables...................................................... 30,943 27,842
Prepaid expenses and other current assets............................................ 20,140 18,507
Deferred income taxes................................................................ 15,680 13,632
----------- -----------
Total current assets............................................................. 240,453 236,457
Property and equipment, less accumulated depreciation of $181,137 and $158,214.......... 116,545 109,523
Software products, less accumulated amortization of $78,016 and $68,780................. 80,702 71,917
Goodwill, less accumulated amortization of $28,117 and $23,444.......................... 159,970 156,796
Other intangible assets, less accumulated amortization of $42,764 and $34,590........... 117,979 104,625
----------- -----------
$ 715,649 $ 679,318
=========== ===========
Liabilities and Stockholders' Equity
Current:
Short-term and current portion of long-term debt.....................................$ 43,228 $ 34,932
Accounts payable..................................................................... 8,860 13,531
Accrued compensation and benefits.................................................... 35,404 41,581
Other accrued expenses............................................................... 27,877 24,004
Accrued income taxes................................................................. 2,439 5,873
Deferred revenues.................................................................... 92,130 90,345
----------- -----------
Total current liabilities........................................................ 209,938 210,266
----------- -----------
Long-term debt.......................................................................... 4,950 4,414
----------- -----------
Commitments............................................................................
Stockholders' equity:
Preferred stock, par value $.01 per share; 5,000 shares authorized................... - -
Common stock, par value $.01 per share; 120,000 shares authorized;
43,183 and 42,300 shares issued................................................... 432 423
Capital in excess of par value....................................................... 179,014 175,937
Notes receivable for common stock.................................................... (234) (559)
Restricted stock plans............................................................... (1,381) (1,535)
Retained earnings.................................................................... 327,357 292,113
Foreign currency translation adjustment.............................................. (4,425) (266)
----------- -----------
500,763 466,113
Treasury stock, at cost, 1 and 43 shares............................................. (2) (1,475)
----------- -----------
Total stockholders' equity......................................................... 500,761 464,638
----------- -----------
$ 715,649 $ 679,318
=========== ===========
</TABLE>
See accompanying notes
1
<PAGE>
SunGard Data Systems Inc.
Consolidated Statements of Income
(In thousands, except per share amounts)
(Unaudited)
<TABLE>
<CAPTION>
Six Months Ended Three Months Ended
June 30, June 30,
----------------- -----------------
1997 1996 1997 1996
------- ------- ------- -------
<S> <C> <C> <C> <C>
Revenues..................................................................$ 395,072 $ 305,366 $ 207,651 $ 155,568
------- ------- ------- -------
Costs and expenses:
Cost of sales and direct operating...................................... 172,054 136,761 90,088 69,525
Sales, marketing and administration..................................... 76,385 61,410 40,115 30,507
Product development..................................................... 36,294 26,857 19,481 13,678
Depreciation of property and equipment.................................. 23,024 17,636 11,658 9,041
Amortization of intangible assets....................................... 22,540 13,857 11,987 7,045
Purchased in-process research and development .......................... 9,618 - 9,618 -
------- ------- ------- -------
339,915 256,521 182,947 129,796
------- ------- ------- -------
Income from operations.................................................... 55,157 48,845 24,704 25,772
Interest income......................................................... 977 3,680 384 1,809
Interest expense........................................................ (1,321) (675) (736) (323)
------- ------- ------- -------
Income before income taxes................................................ 54,813 51,850 24,352 27,258
Income taxes............................................................ 22,604 20,999 10,267 11,039
------- ------- ------- -------
Net income................................................................$ 32,209 $ 30,851 $ 14,085 $ 16,219
======= ======= ======= =======
Fully diluted net income per common share.................................$ 0.73 $ 0.72 $ 0.32 $ 0.38
======= ======= ======= =======
Shares used to compute fully diluted net income per common share.......... 44,144 42,981 44,284 43,091
======= ======= ======= =======
<CAPTION>
===================================================================================================================
SunGard Data Systems Inc.
Supplemental Income Statement Information
(In thousands)
(Unaudited)
Six Months Ended Three Months Ended
June 30, June 30,
----------------- -----------------
1997 1996 1997 1996
------- ------- ------- -------
<S> <C> <C> <C> <C>
Revenues:
Investment support systems..............................................$ 255,679 $ 184,926 $ 135,653 $ 92,192
Disaster recovery services.............................................. 108,730 90,508 55,904 47,039
Computer services and other............................................. 30,663 29,932 16,094 16,337
------- ------- ------- -------
$ 395,072 $ 305,366 $ 207,651 $ 155,568
======= ======= ======= =======
Income from operations:
Investment support systems..............................................$ 44,182 $ 30,718 $ 23,242 $ 15,159
Disaster recovery services.............................................. 20,802 19,011 11,067 10,265
Computer services and other............................................. 4,297 3,104 2,472 2,446
Corporate administration................................................ (4,506) (3,988) (2,459) (2,098)
Purchased in-process research and development........................... (9,618) - (9,618) -
------- ------- ------- -------
$ 55,157 $ 48,845 $ 24,704 $ 25,772
======= ======= ======= =======
Operating margin:
Investment support systems.............................................. 17.3% 16.6% 17.1% 16.4%
======= ======= ======= =======
Disaster recovery services.............................................. 19.1% 21.0% 19.8% 21.8%
======= ======= ======= =======
Computer services and other............................................. 14.0% 10.4% 15.4% 15.0%
======= ======= ======= =======
Total................................................................... 14.0% 16.0% 11.9% 16.6%
======= ======= ======= =======
Total, excluding purchased in-process research and development.......... 16.4% 16.0% 16.5% 16.6%
======= ======= ======= =======
</TABLE>
See accompanying notes
2
<PAGE>
SunGard Data Systems Inc.
Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)
<TABLE>
<CAPTION>
Six Months Ended
June 30,
----------------------------
1997 1996
---------- ----------
<S> <C> <C>
Cash flow from operations:
Net income............................................................................ $ 32,209 $ 30,851
Reconciliation of net income to cash flow from operations:
Depreciation and amortization...................................................... 45,564 31,493
Purchased in-process research and development...................................... 9,618 -
Other noncash charges.............................................................. 2,372 1,256
Deferred income tax benefit........................................................ (6,439) (4,635)
---------- ----------
83,324 58,965
Cash provided by (used for) working capital, net of effect of acquired businesses:
Accounts receivable and other current assets....................................... (9,506) 5,759
Accounts payable and accrued expenses.............................................. (17,304) (7,710)
Deferred revenues.................................................................. (2,427) (3,682)
---------- ----------
Cash flow from operations........................................................ 54,087 53,332
---------- ----------
Financing activities:
Cash received under employee stock plans.............................................. 4,687 5,697
Cash paid for treasury stock.......................................................... (52) (4,423)
Cash received under revolving line of credit.......................................... 124,000 -
Repayments of debt.................................................................... (117,723) (3,994)
---------- ----------
Total financing activities....................................................... 10,912 (2,720)
---------- ----------
Long-term investment activities:
Cash paid for acquired businesses, net of cash acquired............................... (49,641) (28,129)
Cash paid for property and equipment.................................................. (25,009) (16,717)
Cash paid for software and other long-term assets..................................... (5,237) (2,800)
---------- ----------
Total long-term investment activities............................................ (79,887) (47,646)
---------- ----------
Increase (decrease) in cash and equivalents before short-term investment activities..... (14,888) 2,966
Short-term investment activities:
Purchase of short-term investments.................................................... - (2,660)
Maturities of short-term investments.................................................. - 27,403
---------- ----------
Increase (decrease) in cash and equivalents............................................. (14,888) 27,709
Beginning cash and equivalents.......................................................... 46,072 79,091
---------- ----------
Ending cash and equivalents............................................................. $ 31,184 $ 106,800
========= ==========
Supplemental information:
Acquired businesses:
Property and equipment............................................................. 13,792 2,676
Software products.................................................................. 15,775 765
Purchased in-process research and development...................................... 9,618 -
Deferred income taxes.............................................................. 1,761 -
Goodwill and other intangible assets............................................... 10,433 26,496
Purchase price obligations and debt assumed........................................ (2,679) -
Net current assets acquired (liabilities assumed).................................. 3,709 (1,808)
Common stock issued................................................................ (2,768) -
--------- ----------
Cash paid for acquired businesses, net of cash acquired................................. $ 49,641 $ 28,129
========= ==========
</TABLE>
See accompanying notes
3
<PAGE>
SunGard Data Systems Inc.
Notes to Consolidated Financial Statements (Unaudited)
1. The accompanying consolidated financial statements have been prepared in
accordance with generally accepted accounting principles for interim
financial information and with the instructions for Form 10-Q and Rule 10-
01 of Regulation S-X. Accordingly, they do not include all of the
information and footnotes required by generally accepted accounting
principles for complete financial statements. In the opinion of
management, all adjustments (consisting of normal recurring accruals)
considered necessary for a fair presentation have been included. Operating
results for the six and three month periods ended June 30, 1997 are not
necessarily indicative of the results that may be expected for the year
ending December 31, 1997. For further information, refer to the
consolidated financial statements and footnotes thereto included in the
Company's annual report on Form 10-K for the year ended December 31, 1996.
2. Acquisitions:
During the first six months of 1997, the Company completed four business
acquisitions accounted for as purchase transactions. Two acquisitions were
in the Company's investment support systems business, and two were in its
disaster recovery services business. Total cash paid in connection with
these acquisitions was $48,689,000, subject to certain adjustments.
In connection with the acquisition of the Global Plus product line and
certain other assets of Premier Solutions Ltd., the Company engaged a
nationally recognized, independent appraisal firm to express an opinion on
the fair market value of the assets acquired to serve as the basis of
allocation of the purchase price to the various classes of assets acquired.
While the allocation of the purchase price is still preliminary, the
Company has recorded a charge against second quarter earnings for that
portion of the purchase price related to purchased in-process research and
development. This charge represents, as of the date of acquisition, the
value of software products still in development, but not considered to have
reached technological feasibility or to have any alternate future use.
Global Plus is a real-time, multi-currency trust and custody accounting
system.
Additionally, in January 1997, the Company issued 764,655 shares of common
stock in connection with the acquisition of GMI Software, Inc. (GMI), a
global provider of application software supporting exchange-traded futures
and options. The acquisition of GMI was accounted for as a pooling-of-
interests. The accompanying consolidated financial statements include the
results of GMI from January 1, 1997. Prior year consolidated financial
statements have not been restated because the effect of such restatement is
not material.
Except for the charge related to purchased in-process research and
development described above, these acquisitions are not expected to have a
material effect on the Company's financial condition or results of
operations.
4
<PAGE>
SunGard Data Systems Inc.
Notes to Consolidated Financial Statements (Unaudited)
(Continued)
3. Fully diluted net income per common share was calculated using the
weighted-average number of common shares and common-equivalent shares
outstanding during the period. Common-equivalent shares are principally
attributable to unexercised stock options. In February 1997, the Financial
Accounting Standards Board issued Statement of Financial Accounting
Standards No. 128, "Earnings Per Share" (SFAS 128), which specifies a new
methodology for the computation, presentation and disclosure of earnings
per share and makes the U.S. standard for computing earnings per share more
compatible with that of other countries and with the International
Accounting Standards Committee.
SFAS 128 requires a dual presentation of basic and diluted earnings per
share. The new standard is required to be adopted in the fourth quarter of
1997. While early adoption is not permitted, SFAS 128 requires restatement
of all prior period earnings per share data at the time of adoption. The
Company's new earnings per share amounts are not expected to be materially
different from those computed under the present accounting standard for the
six and three months ended June 30, 1997 and 1996.
5
<PAGE>
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations
Statements about the Company's expectations and all other statements in
this quarterly report on Form 10-Q other than historical facts are forward-
looking statements. Since these statements involve risks and uncertainties and
are subject to change at any time, the Company's actual results could differ
materially from expected results. The Company derives most of its forward-
looking statements from its operating budgets and forecasts, which are based
upon many detailed assumptions. While the Company believes that its assumptions
are reasonable, it cautions that there are inherent difficulties in predicting
certain important factors, especially the timing and magnitude of software
sales, the timing and magnitude of technological advances, the performance of
recently acquired businesses, the prospects for future acquisitions, and the
overall condition of the financial services industry. These factors, as and
when applicable, are discussed in the Company's filings with the Securities and
Exchange Commission, including its most recent Form 10-K, a copy of which may be
obtained from the Company without charge.
Income from Operations:
During the second quarter 1997, the Company recorded pre-tax charges to
operations of approximately $9.6 million ($0.13 per fully diluted share) for
purchased in-process research and development associated with the acquisition of
Global Plus, a real-time, multi-currency trust and custody accounting system.
The following discussion of income from operations excludes these charges.
Investment Support Systems (ISS):
The Company's ISS business is comprised of more than thirty operating units
of various size and complexity. Historically, most operating units have met or
exceeded expectations, while some have not, yielding overall results for the
entire business at approximately the levels expected. Since overall ISS results
reflect the sum of the diverse results of individual operating units, there
could be an adverse impact on ISS revenues and margins if too many individual
units are unable to meet expectations.
The ISS operating margin was 17.3% and 17.1% for the six and three month
periods ended June 30, 1997, respectively, as compared with 16.6% and 16.4% for
the comparable periods in 1996. The increase in the operating margin is due
primarily to cost reductions in certain ISS businesses (despite an increase in
overall product development expense), as well as an increase in software license
revenues.
The Company expects that the full-year 1997 ISS operating margin will be
slightly higher than the full-year 1996 ISS operating margin. The most
important factors affecting the ISS operating margin continue to be the timing
and magnitude of software license revenues, the operating margin of recently
acquired businesses, and the level of product development spending.
6
<PAGE>
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations
(Continued)
Income from Operations, continued:
Disaster Recovery Services (DRS):
The DRS operating margin was 19.1% and 19.8% for the six and three month
periods ended June 30, 1997, respectively, as compared with 21.0% and 21.8% for
the comparable periods in 1996. The decrease in the operating margin is due
primarily to the expansion of the DRS sales force and costs associated with
additional operating facilities and equipment.
The Company expects that the full-year 1997 DRS operating margin will
approximate the full-year 1996 DRS operating margin. The most important factors
affecting the DRS operating margin continue to be the rate of new contract
signings and contract renewals, the timing and magnitude of equipment and
facilities expenditures, and the performance of recently acquired businesses.
Computer Services and Other (CS):
The CS operating margin was 14.0% and 15.4% for the six and three month
periods ended June 30, 1997, respectively, as compared with 10.4% and 15.0% for
the comparable periods in 1996. The increase in the operating margin is due
primarily to an increase in monthly computer services revenues and cost
reductions in the Company's healthcare information systems (HIS) businesses.
The Company expects that the full-year 1997 CS operating margin will be
higher than the full-year 1996 CS operating margin. The most important factors
affecting the CS operating margin are the timing and magnitude of software
license revenues related to the HIS businesses, and revenue variability in both
remote-access computer processing and automated mailing services.
Revenues:
Total revenues for the six and three month periods ended June 30, 1997
increased $89.7 million, or 29%, and $52.1 million, or 33%, respectively,
compared to the corresponding periods in 1996. Excluding acquired businesses,
revenues increased approximately 11% and 14% during the six and three month
periods ended June 30, 1997, respectively, compared to the corresponding periods
in 1996. Recurring revenues derived from remote processing, disaster recovery
and software maintenance services approximated $303.7 million and $243.0 million
during the six month periods ended June 30, 1997 and 1996, respectively,
representing approximately 77% and 80% of consolidated revenues.
The Company sells a significant portion of its products and services to the
financial services industry and could be directly affected by the overall
condition of that industry. The Company expects that the consolidation trend in
the financial services industry will continue, but it is unable to predict what
effect, if any, this trend may have.
7
<PAGE>
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations
(Continued)
Revenues, continued:
Investment Support Systems:
ISS revenues for the six and three month periods ended June 30, 1997
increased $70.8 million, or 38%, and $43.4 million, or 47%, respectively,
compared to the corresponding periods in 1996. The increase in revenues during
these periods is attributable to increases in data processing and software
maintenance revenues of $41.1 million and $18.9 million, respectively, and
increases in software license and professional services revenues of $29.7
million and $24.5 million, respectively. Excluding acquired businesses,
revenues increased approximately 10% and 15% during the six and three month
periods ended June 30, 1997, compared to the corresponding periods in 1996.
Disaster Recovery Services:
DRS revenues for the six and three month periods ended June 30, 1997
increased $18.2 million, or 20%, and $8.9 million, or 19%, respectively,
compared to the corresponding periods in 1996. Excluding acquired businesses,
revenues increased approximately 16% during the six and three months ended June
30, 1997 as compared with the corresponding periods in 1996. The increase is
attributable primarily to increases in revenues resulting from new contract
signings and contract renewals, and continued growth in midrange platforms.
Computer Services and Other:
CS revenues for the six month period ended June 30, 1997 increased $0.7
million, or 2%, compared to the corresponding period in 1996. For the three
month period ended June 30, 1997, CS revenues decreased $0.2 million, or 1%,
compared to the comparable period in 1996. The slight increase in the six month
period and decrease in the three month period is due to increased volume in the
Company's remote-access computer processing business, offset by a decline in
revenues in the Company's HIS businesses, due primarily to the timing and
magnitude of software license revenues.
Costs and Expenses:
Cost of sales and direct operating expenses for the six and three month
periods ended June 30, 1997 increased $35.3 million, or 26%, and $20.6 million,
or 30%, respectively, compared to the corresponding periods in 1996. The
increase is due primarily to acquired businesses, partially offset by cost
reductions in certain ISS and HIS businesses.
Sales, marketing and administration expenses for the six and three month
periods ended June 30, 1997 increased $15.0 million, or 24%, and $9.6 million,
or 31%, respectively, compared to the corresponding periods in 1996. The
increases are due primarily to acquired businesses and an expansion in the sales
force, particularly in the DRS Group, partially offset by cost reductions in
certain ISS and HIS businesses.
8
<PAGE>
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations
(Continued)
Costs and Expenses, continued:
Product development expenses for the six and three month periods ended June
30, 1997 increased $9.4 million, or 35%, and $5.8 million, or 42%, respectively,
compared to the corresponding periods in 1996. The increases are due primarily
to acquired businesses and an increase in development spending in connection
with various ISS and HIS products. Development costs capitalized were $1.7
million and $1.6 million for the six months ended June 30, 1997 and 1996,
respectively.
Depreciation of property and equipment for the six and three month periods
ended June 30, 1997 increased $5.4 million, or 31%, and $2.6 million, or 29%,
respectively, compared to the corresponding periods in 1996. The increases are
due primarily to purchases of computer and telecommunications equipment and
acquired businesses.
Amortization of intangible assets for the six and three month periods ended
June 30, 1997 increased $8.7 million, or 63%, and $4.9 million, or 70%,
respectively, compared to the corresponding periods in 1996. The increases are
due to acquired businesses.
Interest income for the six and three month periods ended June 30, 1997
decreased $2.7 million, or 73%, and $1.4 million, or 79%, respectively, compared
to the corresponding periods in 1996. Interest expense increased $0.6 million
and $0.4 million during the six and three month periods ended June 30, 1997,
respectively, compared to the corresponding periods in 1996. These changes are
due to lower cash and short-term investment balances and an increase in short-
term debt.
Liquidity and Capital Resources:
At June 30, 1997, cash and equivalents decreased $14.9 million to $31.2
million from $46.1 million at December 31, 1996. The decrease in cash and
equivalents is net of an $8.3 million increase in short-term debt. At June 30,
1997, borrowings under the Company's credit agreement totaled $26.0 million.
The Company expects that its existing cash resources and cash generated
from operations will be sufficient to meet its operating requirements,
contingent payments in connection with previously acquired businesses, and
ordinary capital spending needs for at least the next twelve months.
Furthermore, the Company has a $150.0 million credit agreement ($124.0 million
available at June 30, 1997), and believes it has the capacity to secure
additional credit or issue equity to finance additional capital needs.
9
<PAGE>
Part II. Other Information
Item 1. Legal Proceedings: None
Item 2. Changes in Securities: None
Item 3. Defaults Upon Senior Securities: None
Item 4. Submission of Matters to a Vote of Security Holders:
(a) The 1997 Annual Meeting of Stockholders of the
registrant was held on May 9, 1997.
(b) At the 1997 Annual Meeting, the following were elected
as directors:
<TABLE>
<CAPTION>
For Withheld
--- --------
<S> <C> <C>
Gregory S. Bentley 33,719,976 58,431
Michael C. Brooks 33,736,060 42,347
Albert A. Eisenstat 33,735,056 43,351
Bernard Goldstein 33,319,154 459,253
James L. Mann 33,719,976 58,431
Michael Roth 33,319,370 459,037
Malcolm I. Ruddock 33,736,276 42,131
Lawrence J. Schoenberg 33,735,656 42,751
</TABLE>
(c) At the 1997 Annual Meeting, an amendment to the
Company's Restated Certificate of Incorporation to
increase the number of authorized shares of common stock
by 60,000,000 was approved by the following vote:
<TABLE>
<CAPTION>
<S> <C>
Votes in favor 30,456,702
Votes against 3,271,185
Votes abstaining 50,520
Broker non-votes 0
</TABLE>
Item 5. Other Information: Effective June 4, 1997, the Company's
common stock began trading on the New York Stock Exchange under the
symbol SDS. Before then, the Company's stock had traded on The Nasdaq
Stock Market under the symbol SNDT. In addition, effective September
1, 1997, the Company's common stock will no longer be traded on the
London Stock Exchange.
Item 6. Exhibits and Reports on Form 8-K:
(a) Exhibits: 27.1 Financial Data Schedule
(b) Reports on Form 8-K: None
10
<PAGE>
Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
SunGard Data Systems Inc.
Date: August 14, 1997 By: /s/ Michael J. Ruane
-----------------------------------------
Michael J. Ruane
Vice President-Finance and Chief
Financial Officer
(Principal Financial Officer)
11
<PAGE>
LIST OF EXHIBITS
NUMBER EXHIBIT
- ------ -------
27.1 Financial Data Schedule.
12
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
UNAUDITED CONSOLIDATED BALANCE SHEET OF SUNGARD DATA SYSTEMS INC. AS OF JUNE
30, 1997 AND THE UNAUDITED CONSOLIDATED STATEMENT OF INCOME FOR THE SIX MONTHS
ENDED JUNE 30, 1997, BOTH INCORPORATED BY REFERENCE INTO THE FORM 10-Q OF
SUNGARD DATA SYSTEMS INC. FOR THE SIX MONTHS ENDED JUNE 30, 1997 AND IS
QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-END> JUN-30-1997
<CASH> 31,184
<SECURITIES> 0
<RECEIVABLES> 187,082
<ALLOWANCES> 13,633
<INVENTORY> 0
<CURRENT-ASSETS> 240,453
<PP&E> 297,682
<DEPRECIATION> 181,137
<TOTAL-ASSETS> 715,649
<CURRENT-LIABILITIES> 209,938
<BONDS> 4,950
0
0
<COMMON> 432
<OTHER-SE> 500,329
<TOTAL-LIABILITY-AND-EQUITY> 715,649
<SALES> 0
<TOTAL-REVENUES> 395,072
<CGS> 0
<TOTAL-COSTS> 253,912<F1>
<OTHER-EXPENSES> 9,618<F2>
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 1,321
<INCOME-PRETAX> 54,813
<INCOME-TAX> 22,604
<INCOME-CONTINUING> 32,209
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 32,209
<EPS-PRIMARY> 0.73<F3>
<EPS-DILUTED> 0.73<F3>
<FN>
<F1>EXCLUDES SELLING, MARKETING AND ADMINISTRATIVE COSTS, AND PURCHASED
IN-PROCESS RESEARCH AND DEVELOPMENT COSTS.
<F2>PURCHASED IN-PROCESS RESEARCH AND DEVELOPMENT COSTS.
<F3>INCLUDES PURCHASED IN-PROCESS RESEARCH AND DEVELOPMENT COSTS TOTALLING $0.13
PER SHARE.
</FN>
</TABLE>
