FormScape says it has completed six consecutive quarters of record revenue, sales and profits with recently announced first quarter revenues of $4.6 million.
In addition, the software company has completed a management-led buy-out with MTI Ventures, a British firm that funded FormScape a year ago with a $5 million infusion and in April 2000.
MTI Ventures said it had increased its investment in Formscape to $9 million.
“We are thrilled that despite the tough market, FormScape is beating our expectations for growth and operating profits,” said John Polden, a partner at MTI in London. “–Because of the company’s continued growth and solid management team, MTI has expanded their investment to $9 million to help fund the management-led buy-out.”
Polden reported that revenues at FormScape for the first quarter of fiscal 2004 increased 15 percent year over year, while the company maintained its profit margin and invested an incremental $500,000 year on year in expanding sales and marketing activities.
Other highlights include adding over 500 customer installations globally, including BB&T, Otis Elevator and Southern States, as well as extending revenue from current customer base with additional sales at Countrywide Surveyors, Danzas, Johnson & Johnson LifeScan, and SAS in Cary.
FormScape said it also increased development spending by 59 percent year over year to accelerate the launch of FormScape V3 and a new enterprise class product this fall.
Additionally, Brian Reed was named vice president of global marketing at FormScape, and the company opened offices in Rutherford, NJ and Chicago during the quarter.
“The market for optimizing business document and information processes is poised for growth–. So it’s not surprising that despite our conservative and disciplined approach to corporate expansion, we’ve experienced forward momentum in our market for the past 18 months,” said Malcolm Peden, CEO of FormScape. “Relative to the rest of the industry, we are in a great position with our people, products and a growth strategy that will propel the business forward by continuing to focus on delivering value to our customers.”
FormScape was founded in 1991 in the United Kingdom, and opened a Raleigh office in 1995 as its North American base of operations to develop and market a suite of document-presentation software products.
FormScape: www.formscape.com
