Cimatron Reports $11 Million Revenues in Q1/14, Marking Record First Quarter Revenues, Operating Profit and Cash Flow

 Cimatron Reports $11 Million Revenues in Q1/14, Marking Record First Quarter                    Revenues, Operating Profit and Cash Flow  PR Newswire  GIVAT SHMUEL, Israel, May 14, 2014  GIVAT SHMUEL, Israel, May 14, 2014 /PRNewswire/ --Cimatron Limited (NASDAQ: CIMT), a leading provider of integrated CAD/CAM software solutions for the toolmaking and manufacturing industries, today announced its financial results for the first quarter of 2014.  Highlights of Cimatron's results for the first quarter of 2014 include the following:    o40% year-over-year increase in non-GAAP operating profit, to a Q1 record     of $1.4 million   oRecord Q1 revenues of $11 million, an 8% year-over-year increase (6.3% on     constant currency basis)   o16^th consecutive quarter with year-over-year revenue growth on a constant     currency basis   o$3.2 million cash flow from operating activities; End of quarter net cash     balance of $16.1 million or $1.50 per share  Commenting on the results, Danny Haran, President and Chief Executive Officer of Cimatron, noted, "We are very pleased to report Q1 2014 as a record first quarter. In particular, we are pleased that the year-over-year revenue growth of 8% in the quarter was translated to 40% year-over-year growth in operating profit, reflecting once again the strong operating leverage inherent in our business model.  "The solid growth in both revenues and operating profit, as well as the strong positive cash flow, will enable us to continue investing in product development and pursuing additional opportunities for expanding our distribution network, while continuing to look for M&A opportunities.  "We recently held two large reseller meetings, one for the GibbsCAM product line and one for the CimatronE product line, where the upcoming versions of both products were presented and welcomed with enthusiasm. We have a lot to look forward to in the 2014 versions, which include exciting developments for manufacturing, tool making and additive manufacturing," concluded Mr. Haran.  The following provides details on Cimatron's GAAP and non-GAAP results for the first quarter  of 2014:  GAAP: Revenues for the first quarter of 2014 increased by 8% to $11.0 million, from $10.2 million recorded in the first quarter of 2013.  Gross Profit for the first quarter of 2014 was $9.5 million, as compared to $8.8 million in the same period in 2013. Gross margin in the first quarter of 2014 constituted 86% of revenues, compared to 87% in the first quarter of 2013.  Operating Profit in the first quarter of 2014 increased by 38% to $1.1 million, from $0.8 million in the corresponding quarter of 2013.  Net Profit for the first quarter of 2014 was $0.7 million, or $0.06 per diluted share, compared to a net profit of $0.6 million, or $0.06 per diluted share, recorded in the same quarter of 2013.  Non-GAAP: Revenues for the first quarter of 2014 increased by 8% to $11.0 million, from $10.2 million recorded in the first quarter of 2013.  Gross Profit for the first quarter of 2014 was $9.6 million, as compared to $9.0 million in the same period of 2013. Gross margin in the first quarter of 2014 constituted 88% of revenues, the same as in the first quarter of 2013.  Operating Profit in the first quarter of 2014 increased by 40% to $1.4 million, from $1.0 million in the corresponding quarter of 2013.  Net Profit for the first quarter of 2014 was $0.9 million, or $0.08 per diluted share, compared to net profit of $0.7 million, or $0.08 per diluted share, recorded in the same quarter of 2013.  Conference Call Cimatron's management will host a conference call today, May 14, 2014, at 9:00 EDT, 16:00 Israel time. On the call, management will review and discuss the results, and will answer questions by investors.  To participate, please call one of the following teleconferencing numbers. Please begin placing your call at least 5 minutes before the conference call commences.  USA: +1-888-407-2553 International: +972-3-9180610 Israel: 03-9180610  For those unable to listen to the live call, a replay of the call will be available beginning on the day after the call at the investor relations section of Cimatron's website, at: www.cimatron.com  Reconciliation between results on a GAAP and non-GAAP basis is provided in a table immediately following the Consolidated Statements of Income included herein. Non-GAAP financial measures consist of GAAP financial measures adjusted to include recognition of deferred revenues of acquired companies and to exclude amortization of acquired intangible assets, stock based compensation and deferred income tax, as well as certain business combination and other accounting entries. The purpose of such adjustments is to give an indication of our performance exclusive of non-cash charges and other items that are considered by management to be outside of our core operating results. Our non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read in conjunction with our consolidated financial statements prepared in accordance with GAAP. Our management regularly uses our supplemental non-GAAP financial measures internally to understand, manage and evaluate our business and make operating decisions. We believe that these non-GAAP measures help investors to understand our current and future operating performance. These non-GAAP financial measures may differ materially from the non-GAAP financial measures used by other companies.  About Cimatron  With over 30 years of experience and more than 40,000 installations worldwide, Cimatron is a leading provider of integrated, CAD/CAM software solutions for mold, tool and die makers as well as manufacturers of discrete parts. Cimatron is committed to providing comprehensive, cost-effective solutions that streamline manufacturing cycles and ultimately shorten product delivery time.  The Cimatron product line includes the CimatronE and GibbsCAM brands with software solutions for mold design, die design, electrode design, 2.5 to 5 Axis milling, wire EDM, turn, Mill-turn, rotary milling, multi-task machining, and tombstone machining. Cimatron's subsidiaries and extensive distribution network serve and support customers in the automotive, aerospace, medical, consumer plastics, electronics, and other industries in over 40 countries worldwide.  Cimatron's shares are publicly traded on the NASDAQ under the symbol CIMT. For more information, please visit Cimatron's web site at:  http://www.cimatron.com  Safe Harbor Statement  This press release includes forward looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, which are subject to risk and uncertainties that could cause actual results to differ materially from those anticipated. Such statements may relate to Cimatron's plans, objectives and expected financial and operating results. The words "may," "could," "would," "will," "believe," "anticipate," "estimate," "expect," "intend," "plan," and similar expressions or variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond Cimatron's ability to control. The risks and uncertainties that may affect forward looking statements include, but are not limited to: currency fluctuations, global economic and political conditions, marketing demand for Cimatron products and services, long sales cycles, new product development, assimilating future acquisitions, maintaining relationships with customers and partners, and increased competition. For more details about the risks and uncertainties related to Cimatron's business, refer to Cimatron's filings with the Securities and Exchange Commission. Cimatron cannot assess the impact of or the extent to which any single factor or risk, or combination of them, may cause. Cimatron undertakes no obligation to publicly update or revise any forward looking statements, whether as a result of new information, future events or otherwise.  Company Contact:          Investor Relations contact Ilan Erez, Chief Financial Officer           Ehud Helft/Kenny Green Cimatron Ltd. GK Investor Relations Tel.; 972-73-237-0114                  Tel: (US) 1 646 201 9246 Email: ilane@cimatron.com                   Email: Cimatron@gkir.com  CIMATRON LIMITED CONSOLIDATED STATEMENTS OF INCOME (US Dollars in thousands, except for per share data)                                                             Three months ended                                                             March 31,                                                             2014       2013 Total revenue                                               10,963     10,158 Total cost of revenue                                       1,503      1,326 Gross profit                                                9,460      8,832  Research and development expenses                        1,915      1,728  Selling, general and administrative expenses             6,474      6,326 Operating income                                           1,071      778  Financial income (expenses), net                         (39)       16  Taxes on income                                          (350)      (192)  Other                                                    (21)       2 Net income                                                 661        604  Less: Net income attributable to the noncontrolling      (10)       - interest Net income attributable to Cimatron's shareholders          $ 651      $ 604 Net income per share - basic and diluted                    $ 0.06     $ 0.06 Weighted average number of shares outstanding          Basic EPS (in thousands)                           10,731     9,348          Diluted EPS (in thousands)                         10,731     9,358    CIMATRON LIMITED RECONCILIATION BETWEEN GAAP AND NON-GAAP INFORMATION (US Dollars in thousands, except for per share data)                               Three months ended                               March,                                       2014                     2013                               GAAP    Adj.   NON-GAAP  GAAP    Adj.   NON-GAAP Total revenue                10,963  -      10,963    10,158  -      10,158 Total cost of revenue (1)     1,503   (147)  1,356     1,326   (147)  1,179 Gross profit                  9,460   147    9,607     8,832   147    8,979  Research and development   1,915   (12)   1,903     1,728   -      1,728 expenses (2)  Selling, general and       6,474          6,337     6,326          6,273 administrative expenses            Non-cash            amortization of            -                        (53)            acquired            intangible assets            Stock-based                (137)                    -            compensation Operating income             1,071   296    1,367     778     200    978  Financial income           (39)    -      (39)      16      -      16 (expenses), net  Taxes on income (3)        (350)   (83)   (433)     (192)   (91)   (283)  Other                     (21)    -      (21)      2       -      2 Net income                   661     213    874       604     109    713  Less: Net income attributable to the           (10)    -      (10)      -       -      - noncontrolling interest Net income attributable to    $ 651   $ 213  $ 864     $ 604   $ 109  $ 713 Cimatron's shareholders Net income per share - basic  $ 0.06         $ 0.08    $ 0.06         $ 0.08 and diluted Weighted average number of shares outstanding    Basic EPS (in thousands)   10,731         10,731    9,348          9,348    Diluted EPS (in thousands) 10,731         10,731    9,358          9,358 (1) Non-GAAP adjustment to exclude non-cash amortization of acquired intangible assets (2) Non-GAAP adjustment to exclude stock-based compensation (3) Non-GAAP adjustment to exclude the effect of deferred taxes and other non-current tax provisions.    CIMATRON LIMITED CONSOLIDATED BALANCE SHEETS (US Dollars in thousands)                                                 March 31,      December 31,                                                 2014           2013                    ASSETS CURRENT ASSETS:  Total cash, cash equivalents and short-term    $          $    13,052  investments                                    16,614  Trade receivables                              6,792          6,838  Other current assets                           2,832          2,434    Total current assets                         26,238         22,324    Deposits with insurance companies and        3,719          3,725    severance pay fund    Net property and equipment                   973            977    Net other assets                             10,272         10,407        Total assets                             $          $    37,433                                                 41,202                    LIABILITIES AND                    SHAREHOLDERS' EQUITY CURRENT LIABILITIES:  Short-term bank credit                         $        $                                                        535           5  Trade payables                                 973            1,356  Accrued expenses and other liabilities         6,128          6,297  Deferred revenues                              6,058          2,974    Total current liabilities                    13,694         10,632 LONG-TERM LIABILITIES:  Accrued severance pay                          5,091          5,018  Deferred tax liability                         9              69   Total long-term liabilities                 5,100          5,087  Total shareholders' equity                     22,408         21,714        Total liabilities and shareholders'      $          $    37,433        equity                                   41,202    CIMATRON LIMITED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (US Dollars in thousands)                                                    Accumulated               Noncontrolling  Share    Additional  other          Retained  Treasury  Comprehensive  Total               Interest        capital  paid-in     comprehensive  earnings  stock     income        shareholders'                                        capital     income                                           equity Balance at    $         $     $         $        $      $                     $     December 31,   33            350    17,172        88                (752)                   21,714 2013                                                              4,823 Changes during the three months ended March 31, 2014: Net income    10                                                  651                 661            661 Stock based                            149                                                           149 compensation Other       (43)                                 (109)                              (152)          (152) Foreign currency                                           36                                 36             36 translation adjustment Total comprehensive                                                                         545 income Balance at    $         $     $         $        $      $                     $     March 31,        -          350    17,321        15                (752)                   22,408 2014                                                              5,474    CIMATRON LIMITED STATEMENTS OF CASH FLOWS (US Dollars in thousands)                                                   Three months ended                                                   March 31,                                                   2014           2013 Cash flows from operating activities: Net income                                       $         $                                                        661            604 Adjustments to reconcile net income  to net cash provided by (used in) operating activities: Depreciation and amortization                     239            293 Increase in accrued severance pay                 62             86 Stock based compensation                          149            - Deferred taxes, net                               (77)           (90) Changes in assets and liabilities: Increase in accounts receivable and prepaid       (258)          (1,194) expenses Decrease in inventory                             5              - Decrease (increase) in deposits with insurance    6              (110) companies and severance pay fund Increase in trade payables, accrued expenses and  2,425          280 other liabilities Net cash provided by (used in) operating          3,212          (131) activities Cash flows from investing activities: Proceeds from sale of property and equipment      -              7 Purchase of property and equipment                (65)           (49) Net cash used in investing activities             (65)           (42) Cash flows from financing activities: Short-term bank credit                            509            5,658 Purchase of non-controlling interest              (92)           - Cash distribution to                              -              (7,874) shareholders Net cash provided by (used in) financing          417            (2,216) activities Net increase (decrease) in cash and cash          3,564          (2,389) equivalents Effect of exchange rate changes on cash           (2)            (88) Cash and cash equivalents at beginning of period  13,052         11,903 Cash and cash equivalents at end of period        $   16,614  $                                                                     9,426 Appendix A - Non-cash transactions  Purchase of property on credit $         $                                                         20            5      SOURCE Cimatron  Website: http://www.cimatron.com  
Press spacebar to pause and continue. Press esc to stop.