FileNet achieves total revenues of USD 104.6 million in second quarter of 2005

The company has achieved total revenues of US$ 104.6 million in the second quarter of this year compared to total revenues of $ 94.1 million for the same period in 2004 and $100 million for the first quarter of 2005.

Software revenues for the second quarter of 2005 were $40.6 million compared to $32.7 million for the same period in 2004 and $38.5 million for the first quarter of 2005. Net income was $8.7 million in the second quarter of 2005, compared to net income of $2.2 million in the second quarter of 2004 and $8.3 million in the first quarter of 2005. Earnings per basic and diluted share were $0.21 for the second quarter of 2005, compared to earnings per basic and diluted share of $0.06 and $0.05, respectively for the second quarter of 2004 and $.20 per basic and diluted share for the first quarter of 2005.

"These results are very encouraging for FileNet, with strong revenue growth, greater operating margins and earnings per share," said Carlo Stellati, Vice President, South Europe, Middle East and Africa, FileNet. "It underlines the trust that our loyal customers have shown in our technologically advanced products. Looking ahead, we foresee a continued heavy demand for our ECM and BPM offerings and we will remain focused on our long term strategy of expanded market leadership."

FileNet's second quarter software revenue was $40.6 million, an increase of 24 percent when compared to $32.7 million for the same period last year. Services revenue was $64 million, up 4 percent when compared to $61.4 million in second quarter 2004.

One of the significant contributors to the increased revenues of FileNet in the second quarter was the launch of FileNet P8 3.5, the latest version of the company's ECM platform. The new version allows organizations to address a broad range of content, process management and compliance needs. The most noteworthy new feature of the 3.5 version is Content Federation Services (CFS), which allows all of a
customer's content repositories to be made accessible through a single catalog, enabling users to access important information for business reuse and critical decision making.

"We are extremely confident that FileNet will continue with its consistent financial performance and ability to meet and exceed our financial objectives in the coming months. We sincerely appreciate the committed efforts of our partners across the Middle East region, including EBLA and Gulf Commercial Group, which has helped in propelling the sales of FileNet products in the region," added Stellati.