- profit increases 15 percent over previous year
Reading, Berks, 14 September 2005: FrontRange Solutions, a global leader in service management, CRM and voice application solutions for the growing small and medium enterprise (SME) and distributed enterprise markets, reported an increase in revenues and profits for the quarter ended 31 July 2005.
Total revenue for the quarter increased to $21.9 million, an increase of more than 10 percent over the $19.9 million for the three months ended 30 June 2004, which is the last comparable period. In addition to an increase in revenue, FrontRange also reported an operating profit of $2.4 million, an increase of 15 percent over the three months ended 30 June 2004.
"Our fiscal Q1 results are a continuation of our solid financial performance, especially considering that this past quarter is traditionally our weakest quarter," said FrontRange CEO, Michael McCloskey. "FrontRange is committed to building a company that delivers steady and sustained growth and we have now produced seven straight quarters of revenue and profitability improvement.
"Particularly encouraging was the 15 percent profit growth, at the same time making significant investments in our global services delivery and implementation capability - as well as maintaining a healthy R&D spend rate at over 16 percent of revenue."
FrontRange continues to release significant updates to its GoldMineÂ®, HEATÂ® and FrontRange Contact Center products. Additionally, its major new product, IT Service Management (ITSM), was released at the end of January 2005.
"Notwithstanding the difficult market conditions, we have seen solid momentum with our new product offerings," McCloskey continued. "Since the release of our new ITSM product, we have signed 74 customers to date. Additionally, our new IP-based contact center product has shown positive traction, with 45 customer signings since launch.
"In addition, our investment in global services delivery and implementation capability will allow us to deliver world-class, best-of-breed enterprise services to our clients."
Kevin J Smith, FrontRange vice president of products, believes that, "our customers have embraced the improvements weâve made to HEAT and GoldMine, as well as new products like IP Contact Center and IT Service Management that complement HEAT and GoldMine.
"The combined product offerings were designed in response to the needs of our customers and partners. As a result, these solutions enable our customers to proactively address critical initiatives including corporate governance, IT best practices, ITIL and Sarbanes Oxley. Beyond the strong broader market share, in the US we are now the leading provider of distributed ITIL-enabled solutions.