OutStart, the leading provider of eKnowledge software solutions for learning and knowledge-sharing, today announced record breaking quarterly results for the period ended June 30, 2006, including record revenues, an operating profit and the second consecutive quarter of positive cash flow. OutStart’s sustained growth and positive cash flow reflects the strength of the company’s business model, which focuses on delivering well-designed, configurable products that align with the needs of both small and medium size organizations and global enterprises, alike. The design, flexibility and scalability of the company’s offerings significantly reduce the need for related services, a critical differentiator in OutStart’s business model.
“We would like to thank our customers for helping OutStart to achieve these impressive results,” said Massood Zarrabian, CEO and President of OutStart. “The decision by our customers to establish long-term relationships with OutStart has been a critical factor in establishing our strong market position and our ability to solidify our place as a top learning and e-knowledge company. Our ability to attract world class organizations such as British Telecom and Boehringer reflects the confidence that these global leaders have in our solutions and the positive impact they can have on their overall operations.”
Highlights for Q2 2006 include:
- 19% percent growth in top line revenues as compared with the same quarter in 2005;
- An operating profit for the quarter;
- The second consecutive quarter of positive cash flow;
- Orders from well over 50 new and existing customers including blue chip new customers such as British Telecom and Boehringer;
- Formation of a Customer Advisory Board comprising some of the worlds best brands across numerous market segments, including defense and government, financial services, high tech, and retail to name a few. Based upon the success of the initial CAB sessions, OutStart is planning on expanding the scope and number of CAB members. Over the coming months, OutStart will leverage the collective knowledge and feedback of this esteemed group to continue to provide solutions that meet evolving market needs.
“2006 thus far has been an outstanding year on several levels,” said Dan Kossmann, OutStart’s Chief Financial Officer. “Our revenue backlog has grown by 33% percent in the past year, reflecting strong demand from new and existing clients. We are profitable, generating cash and recurring revenues accounts for 2/3rds of our overall business. These factors are all contributing to a significant increase in the financial strength and stability of OutStart.”
