NICE Systems Ltd. (Nasdaq: NICE; TASE: NICE) will acquire Dutch CyberTech International BV, a developer of voice logging, compliance recording solutions and value-added applications, for $60 million. The company also beat the analysts' earnings per share and revenue forecasts, and it predicts another strong year in 2011.
NICE said that the acquisition will broaden its product line for financial institutions, strengthen its commitment to the small and mid-sized business sector, and add to its public safety solutions. The acquisition will also boost NICE's presence in European, Middle Eastern and Asian markets, and provide a product to meet the needs of emerging markets.
NICE's fourth quarter revenue rose 14.8% to $186.9 million from $163 million for the corresponding quarter. Non-GAAP net profit rose to $32.7 million ($0.51 per share) from $28.6 million for the corresponding quarter. The company beat the analysts' fourth quarter consensus of $0.49 earning per share on $180 million revenue.
For the year as a whole, revenue rose 18.1% to $695.3 million from $588.6 million in 2009. Non-GAAP net profit rose to $112.1 million ($1.75 per share) from $96 million in 2009. The company beat the analysts' full-year consensus of $1.73 earning per share on $688.4 million revenue.
Cash flow from operations was $145 million in 2010, and the company's orders backlog reached an all-time at the end of the year.
NICE president and CEO Zeev Bregman said, "We expect 2011 to be another year of growth. We are entering the year with strong backlog and pipeline, a comprehensive product portfolio and a business that is driven by multiple growth engines. We expect to continue to focus on innovating additional advanced applications. Furthermore, we intend to grow our business both organically and inorganically, as reflected in the CyberTech acquisition we announced today.
NICE's share price fell 0.7% on Nasdaq yesterday to $34.25, giving a market cap of $2.25 billion, but rose 1.2% in after-hours trading. The share price rose 0.4% by early afternoon on the TASE to NIS 127.10.
Published by Globes [online], Israel business news - www.globes-online.com - on February 15, 2011
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