Aug 10 2010
Phase Forward Incorporated (NASDAQ: PFWD) today announced its financial results for the second quarter of 2010.
For the second quarter of 2010, GAAP revenues were $58.6 million, a 12% increase from $52.5 million in the second quarter of 2009. GAAP income from operations was $2.8 million for the second quarter of 2010, compared to $3.1 million in the second quarter of 2009. GAAP net income for the period was $1.6 million, or $0.04 per diluted share, compared to GAAP net income of $2.2 million, or $0.05 per diluted share, in the second quarter of 2009.
Non-GAAP revenues were $58.9 million for the second quarter of 2010, which excludes a $266,000 purchase accounting adjustment to record deferred revenues and backlog assumed in acquisitions at fair value. Non-GAAP income from operations was $7.9 million, compared to $8.6 million in the prior year period and representing a non-GAAP operating margin of 13%. Non-GAAP net income for the period was $4.8 million, or $0.11 per diluted share, compared to $5.6 million, or $0.13 per diluted share, in the second quarter of 2009.
The attached table presents a reconciliation of GAAP to non-GAAP revenues, income from operations and net income and net income per share applicable to common stockholders for the three and six months ended June 30, 2009 and 2010. Non-GAAP results exclude the impact of stock-based compensation expense, amortization of intangible assets, the effects of purchase accounting adjustments to record deferred revenues and backlog assumed in acquisitions at fair value.
Total cash, cash equivalents and investments were $136.5 million at the end of the second quarter, an increase of $6.8 million from $129.7 million at the end of the prior quarter. Total deferred revenues were $104.5 million at the end of the quarter, compared to $110.4 million at the end of the prior quarter and $91.1 million at the end of the second quarter of 2009.