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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):
April 16, 1998
MathSoft, Inc.
(Exact name of Registrant as specified in its charter)
Massachusetts 0-020992 04-2842217
(State or jurisdiction (Commission (IRS Employer
of Incorporation) File number) Identification No.)
101 Main Street 02142
Cambridge, Massachusetts (Zip Code)
(Address of principal
executive offices)
Registrant's telephone number, including area code: (617) 577-1017
No change since last report
(Former name or former address, if changed
since last report)
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ITEM 5. OTHER EVENTS.
On April 16, 1998, the Company issued a press release, a copy of which is
attached as Exhibit 99.1 to this Current Report on Form 8-K.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS.
Exhibit No. Exhibit
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99.1 Press release of the Company dated April 16, 1998
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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 hereunto duly authorized.
MATHSOFT, INC.
April 16, 1998 By: /S/ Robert P. Orlando
-------------------------
Robert P. Orlando
Chief Financial Officer
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FOR IMMEDIATE RELEASE
CONTACT:
BOB ORLANDO, CFO
MATHSOFT, INC.
(617) 577-1017, x742
MATHSOFT RELEASES RESULTS FOR MARCH QUARTER, REPORTS THIRD
CONSECUTIVE QUARTER OF PROFITS
CAMBRIDGE, Mass., April 16, 1998 - MathSoft, Inc. (Nasdaq: MATH) today
reported net income of approximately $481,000, or $0.05 per diluted share, for
its first quarter ended March 31, 1998. This compares with a net loss of
$1,929,000, or $0.21 per diluted share for the corresponding quarter of 1997.
Revenues for the first quarter of 1998 grew 48%, reaching $5.7 million compared
with $3.8 million achieved in the first quarter of the prior year.
"This was a tremendous turnaround quarter for MathSoft relative to last
year at this time," said Chuck Digate, Chairman and CEO. "Furthermore, this is
our third consecutive quarter of profitability, and if things go as planned,
just the first of four profitable quarters this calendar year."
Founded in 1984, MathSoft is a leading provider of design and analysis
software for technical professionals, business analysts and students. The
Company has more than one million users of its Mathcad(R), StudyWorks(TM),
S-PLUS(R), MathSoft StatServer(R) and Axum(R) software worldwide. Users include
professionals worldwide at more than 90% of the Fortune 1,000 companies and over
500 government installations, and students and faculty at over 2,000 colleges
and universities. MathSoft product information can be obtained via the MathSoft
Store located at http://www.mathsoft.com, by phone at 1-800-628-4223, by fax at
617-577-8829 or by mail at 101 Main Street, Cambridge, MA 02142.
Information contained in this document which refers to MathSoft's future
financial performance represents management's best estimate at the present time
and actual results could differ materially from present estimates. Factors that
might cause such differences include, but are not limited to the risks
associated with distribution channels; the risks associated with international
operations; the risks associated with acquisitions; and the ability to enhance
current products and to introduce new products in a timely fashion. Please refer
to the cautionary statements appearing in MathSoft's Annual and Quarterly
Reports and prospectus filed with the Securities and Exchange Commission for a
discussion of these and other various factors that could cause MathSoft's actual
results to differ materially from those discussed in the forward-looking
statements.
The MathSoft logo, Axum, S-PLUS, Mathcad and StatServer are registered
trademarks and MathConnex and StudyWorks! are trademarks of MathSoft, Inc.
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MATHSOFT, INC. AND SUBSIDIARIES
CONSOLIDATED CONDENSED BALANCE SHEETS
(IN THOUSANDS)
<TABLE>
<CAPTION>
ASSETS
UNAUDITED AUDITED
MARCH 31, DEC. 31,
1998 1997
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<S> <C> <C>
CURRENT ASSETS:
Cash, cash equivalents and short-term
investments $ 4,210 $4,134
Accounts receivables, net 2,960 2,528
Other receivables 943 944
Inventories 216 255
Prepaid expenses 517 234
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Total current assets 8,846 8,095
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PROPERTY AND EQUIPMENT, NET 1,451 1,549
OTHER ASSETS:
Purchased technology, net 70 70
Other assets 109 98
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TOTAL ASSETS $10,476 $9,812
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<CAPTION>
LIABILITIES AND STOCKHOLDERS' EQUITY
UNAUDITED AUDITED
MARCH 31, DEC. 31,
1998 1997
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<S> <C> <C>
CURRENT LIABILITIES $ 6,131 $6,225
OTHER LONG-TERM LIABILITIES 268 92
STOCKHOLDERS' EQUITY 4,077 3,495
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TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY $10,476 $9,812
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</TABLE>
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MATHSOFT, INC. AND SUBSIDIARIES
Consolidated Condensed Statements of Operations
(in Thousands, except per share data)
(Unaudited)
<TABLE>
<CAPTION>
Three Months Ended
March 31, March 31,
1998 1997
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<S> <C> <C>
Revenues:
Software licenses $ 4,920 $ 3,244
Services and other 782 598
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Total revenues 5,702 3,842
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Cost of Revenues:
Software licenses 706 808
Services and other 297 192
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Total cost of revenues 1,003 1,000
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Gross profit 4,699 2,842
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Operating Expenses:
Sales and marketing 2,421 2,592
Research and development 1,219 1,436
General and administrative 602 775
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Total operating expenses 4,242 4,803
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Income (Loss) from Operations 457 (1,961)
Interest Income, net 24 44
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Income (Loss) Before Provision
for Income Taxes 481 (1,917)
Provision for Income Taxes 0 12
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Net Income (Loss) $ 481 $(1,929)
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Basic earnings (loss) per share: $ 0.05 $ (0.21)
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Diluted earnings (loss) per share: $ 0.05 $ (0.21)
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Common Shares Outstanding 9,131 8,977
Dilutive Effect of Stock Options 1,083 --
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Common Shares Assuming Dilution 10,214 8,977
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</TABLE>