Diligent shares soar as iPad helps boost sales outlook
Software company Diligent Board Member Services continues to reach new milestones with a record increase in sales for the fourth quarter.
Software company Diligent Board Member Services continues to reach new milestones with a record increase in sales for the fourth quarter, with future demand boosted by opportunities in Asia and the introduction of iPad application.
The company's shares jumped 13c to 80c following the sales figures.
Diligent, which develops software to help corporates access safe and secure information via the internet, said its net sales rose 59% to $US2.45 million ($3.2 million) for the December quarter.
Year to date sales of $US8.3 million are up 66% on the previous year.
Total annualised license fees surpassed $US10 million for the first time with a further $US1.56 million in the latest quarter, up from $US0.75 million in the previous corresponding period.
Diligent pointed to the introduction of an Apple iPad-compatible version of its Boardbooks product and opening an office in Singapore as key drivers of continued growth.
“Diligent expects this sales momentum to contine based on the forward order book and inquiry levels,” the company said in a statement.
Acceptance of Boardbooks for iPad 1.0 into the Apple App store in early January “has created unprecedented demand for the Diligent Boardbooks product and dramatically increased an already healthy sales pipeline," the company said.
Diligent said 59 new licenses were added during the forth quarter, compared to 41 for the third quarter. The company, which is listed in this country but based in New York, now has 456 global clients and more than 12,080 users of its Boardbook products.
Recent signings included BBC Worldwide, DirectTV, AOL Inc and ExxonMobil.
The company, which broke even on a cash-flow basis for the first time in its third quarter, declared a cash dividend of $US0.011 per share to series A preferred stock holders on January 3, which totalled $US359,338.
Major shareholder Spring Street Partners waived its right to $200,000 of the dividend, directing Diligent to retain the funds for expansion into Asia.
Duncan Bridgeman
Tue, 18 Jan 2011
Tue, 18 Jan 2011
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Diligent shares soar as iPad helps boost sales outlook
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