Aladdin Knowledge Systems Ltd.

 

Consolidated Statement of Income

 

(U.S. dollars, in thousands – except for per-share amount)

 

 

Three months period ended

June 30

Six months period ended

June 30

 

2005

2004

2005

2004

Revenues:

 

 

 

 

Software Security (DRM)

14,073

12,335

28,466

25,123

Enterprise Security

5,985

4,184

11,928

8,273

Total Revenues

20,058

16,519

40,394

33,396

 

 

 

 

 

Cost of revenues

3,704

3,056

8,069

6,644

Gross profit

16,354

13,463

32,325

26,752

 

 

 

 

 

Research & development

2,877

3,158

5,780

6,236

Selling & marketing

7,263

5,737

13,728

11,551

General & administrative

2,639

2,024

5,677

4,581

One time lawsuit charge

-

-

2,000

-

 

 

 

 

 

Total operating expenses

12,779

10,919

27,185

22,368

 

 

 

 

 

Operating income

3,575

2,544

5,140

4,384

Financial income (expenses), net

367

(258)

83

(169)

Other income (expenses), net

(10)

(10)

8

(40)

 

 

 

 

 

Income before taxes

3,932

2,276

5,231

4,175

 

 

 

 

 

Taxes on income

338

203

407

354

 

 

 

 

 

Net Income

3,594

2,073

4,824

3,821

 

 

 

 

 

Basic earnings per share

0.25

0.17

0.36

0.32

Diluted earnings per share

0.24

0.16

0.34

0.30

 

 

 

 

 

Weighted average number of shares outstanding for Basic EPS

14,368

11,902

13,380

11,767

Weighted average number of shares outstanding for Diluted EPS

15,095

13,013

14,126

12,941

 

 


 

Aladdin Knowledge Systems Ltd.

 

Condensed Consolidated Balance Sheets

 

(U.S. dollars, in thousands)

 

 

June 30,

2005

December 31,

2004

Assets

 

 

 

 

 

Current assets:

 

 

Cash & cash equivalents

36,150

17,313

Marketable securities

34,004

8,598

Trade receivable, net of allowance for doubtful accounts

12,487

12,637

Other accounts receivable

3,574

4,319

Inventories

6,720

5,788

 

 

 

Total current assets

92,935

48,655

 

 

 

Severance pay fund

2,526

2,357

 

 

 

Fixed assets, net

2,862

2,234

 

 

 

Other long-term assets, net

17,237

17,648

 

 

 

Total Assets

115,560

70,894

 

 

 

 

 

 

Liabilities and Shareholders' Equity

 

 

 

 

 

Current liabilities:

 

 

Trade payables

3,222

3,546

Deferred revenues

5,323

4,793

Other current liabilities

6,763

5,989

 

 

 

Total current liabilities

15,308

14,328

 

 

 

Accrued severance pay

3,333

3,129

 

 

 

Shareholders' Equity

96,919

53,437

 

 

 

Total Liabilities and Shareholders' Equity

115,560

70,894