SkillSoft Corporation (Nasdaq: SKIL), reported financial results today for its fiscal third quarter ended October 31, 2001.
The Company reported total revenue of $11.2 million for the fiscal 2002 third quarter, a 102% increase from $5.5 million in the 2001 third quarter and a 19% increase from $9.4 million in the 2002 fiscal second quarter. Gross margin increased to 94.8%, compared to 92.3% in the third quarter of fiscal 2001. For the second quarter of fiscal
2002, gross margin was 94.3%.
"As our results clearly indicate, we had another solid quarter with record revenue of $11.2 million," commented Chuck Moran, Chairman, President and CEO. "Although the economic environment is challenging, we continue to manage our way through it and book solid business. In fact, we are continuing to see companies adopt e-learning solutions as a reliable and cost effective substitute for face-to-face
learning given the current economic and geopolitical climate."
The Company's third quarter net loss decreased to $1.3 million, or $0.08 per share, excluding the effects of a $2.5 million purchase of IT course content. This compares to $5.1 million, or $0.40 per share in the year ago
fiscal third quarter. Including the IT course content purchase, net loss for the quarter was $3.8 million, or $0.24 per share.
The IT course content purchase involved the purchase of partially developed technology and courseware from a privately held IT product line company for cash. Once fully repurposed onto the SkillSoft architecture, SkillSoft will offer 300 hours of instruction, predominately in the desktop and web developer areas, with full functionality on SkillSoft's SkillPort personalization and learner
management system. It will take the Company approximately two to three quarters to fully develop and integrate the content into SkillSoft's comprehensive library offering.
