Rimini Street Reports Record Fourth Quarter and Record Full-Year 2010 Results
Company Achieves Highest Quarterly Sales and Revenue Ever and Ends Year with Record $220M Sales Bookings Backlog
LAS VEGAS, January 11, 2011 - Rimini Street, Inc., the leading third-party maintenance and support provider for enterprise software, including Oracle Corporation's (NASDAQ: ORCL) Siebel, PeopleSoft, JD Edwards and E-Business Suite software, and SAP AG (NYSE:SAP) software, today announced results for its fiscal fourth quarter and full fiscal year ended December 31, 2010. Highlights of the Company's fourth quarter results include the highest quarterly sales in the Company's history and an 87-percent increase in sequential quarterly bookings compared to the third quarter of 2010. The Company's full fiscal year 2010 results include record highs in sales, revenue, deferred revenue, sales bookings backlog, average sales price, average contract length, client renewal rates and client satisfaction.
Fourth Quarter Results Demonstrate Accelerating Sales Momentum and Strong Execution
The Company over-achieved its new client contract sales target in the fourth quarter, completing more than 30 transactions and exiting the quarter at more than 200 percent of plan. For the quarter, the Company delivered a record $47 million dollars in sales bookings. Fourth quarter sales bookings were an 87-percent increase in sequential quarterly bookings, and a 68-percent increase on a year-over-year basis.
Fourth quarter revenue was more than $7 million, a 37-percent increase on a year-over-year basis and a new company quarterly revenue record.
Strong Business Performance and Key Achievements for Full-Year 2010
Rimini Street continued its fast-paced growth in 2010, achieving many new all-time company records. The Company exceeded $25 million in annual revenues for fiscal 2010, a 44-percent increase on a year-over-year basis. Sales booking backlog increased from $149 million to $220 million, a 47-percent increase on a year-over-year basis. Deferred revenue also increased more than 40-percent as of December 31, 2010 when compared on a year-over-year basis.
Rimini Street's average contract term increased 22 percent from nine to 11 years and the average sales price increased 12 percent on a year-over-year basis. Client retention rates increased for the third consecutive year to more than 95 percent, a new company record high. In addition, client satisfaction rates topped 99 percent.
Rimini Street has signed nearly 400 total clients, including 25 of the Fortune 500 and 11 of the Global 100. The Company now supports client operations in more than 60 countries, with the capability of supporting clients in nearly 200 countries. The Company has approximately 180 employees in North America, Europe and the Asia-Pacific regions.
Other notable Rimini Street 2010 achievements include:
- Announced Oracle E-Business Suite support availability for 2011
- Tripled SAP client base in second year of service offering
- Won several distinguished awards including being named one of the "12 Most Disruptive Enterprise IT Vendors" by InformationWeek, ranked number 50 on Lead411's Technology 500 list of the fastest growing US tech companies and recognized as one of the Bay Area 2010 Top WorkPlaces
- Named a JMP Securities "Hot 100" Company for second consecutive year
- Launched and implemented Rimini Street's US Payroll Engine for SAP products at several clients
- Increased global tax, legal and regulatory coverage to 190 countries and filed a patent for Rimini Street's proprietary tax, legal and regulatory data collection system
- Featured at a variety of industry and investor events, including presentations at investment banker technology conferences and global equity investor tours in New York, London and Frankfurt
- Featured along with Salesforce.com, Amazon.com and others as a leading innovator in the book The New Polymath: Profiles in Compound Technology Innovations by well-known industry analyst Vinnie Mirchandani
- Awarded ISO 9001 certification for client onboarding and environments business processes
"The clear leader in the market is Rimini Street," said Ray Wang, principal analyst and CEO, Constellation Research. "Customers seeking relief from high vendor maintenance costs choose third-party support solutions that provide support, tax updates and regulatory changes for half the cost of existing software vendor maintenance prices."
Company Looks to a Strong 2011
Rimini Street plans to continue its fast-paced growth in 2011, focusing on global expansion of its operations and client base, and introducing innovative new support services like the Company's offering for Oracle's E-Business Suite licensees.
"Rimini Street continues to execute to its global business plan, and is dedicated to providing the most innovative, cost-effective and most responsive enterprise software support in the industry," said Seth Ravin, CEO, Rimini Street. "Our record client contract renewal and satisfaction rates this year attest to our clients' success with our industry-leading support model, ultra-responsive service and high-quality deliverables. We are pleased to end 2010 with a record quarter and record annual results; and we will continue to execute to our business plan in 2011 and work towards a potential IPO in 2012."
About Rimini Street, Inc.
Rimini Street is the leading third-party provider of enterprise software support services. The company is redefining enterprise support services with an innovative, award-winning program that enables Oracle and SAP licensees to save at least 50 percent in annual support fees and save up to 90 percent in total support costs over a decade. Clients can remain on their current software release without any required upgrades or migrations for at least ten years. Hundreds of global, Fortune 500, midmarket, and public sector organizations from virtually all industries have selected Rimini Street as their trusted, independent support provider. To learn more, please visit http://www.riministreet.com/ or call within the USA (888) 870-9692 or internationally +1 (702) 839-9671.
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Rimini Street and the Rimini Street logo are trademarks of Rimini Street, Inc. All other company and product names may be trademarks of their respective owners. Copyright © 2011. All rights reserved.