"Although revenues in 2004 are progressing somewhat slower than we would have liked, primarily due to general economic conditions, there are several important developments that lead us to project growth over the next several quarters," said Dr. Moshe BenBassat, Chairman and CEO of ClickSoftware. "The first is that, in the third quarter, we had seven go-live events, including a very large telecommunications company in the U.S., five utility companies, and a major appliance company in Europe. Out of these, five were for new implementations, and two for upgrades to Version 7.1. In fact, one of these successful deployments led to a license order exceeding $500,000.
"Second, since signing a partnership agreement with IBM on June 30, an extensive set of activities have taken place all over the world, aimed at establishing work processes, meeting key IBM individuals responsible for driving revenues, and developing marketing communications material. Today the joint IBM-ClickSoftware Project Office is very much alive and with an intensive work plan set up for the coming months.
"Third, the ClickSoftware sales pipeline is becoming considerably more robust as measured by total number of prospects, their size, and quality, as well as their geographic distribution."
For the fourth quarter the company currently projects revenues ranging between $6.5 million and $8 million. "The wide range reflects the size of the potential transactions currently in the sales pipeline, some in excess of $800,000. The ability to close these transactions, as well as the precise timing of closure and recognition of the revenues from such transactions, depend on a variety of factors, not all of which are under the company's control. As a result, it is possible for one or more of these transactions to fail to close, or to slip from one quarter to the next." Dr. BenBassat said.