E-retail has grown more than 50% so far this year for the department store chain. Belk plans to spend $32 million on the project.
E-commerce platform provider ATG racks up a 33% revenue increase in 2007
Revenue grew from $103.2 million in 2006 to $137.1 million in 2007 at Art Technology Group. Noting a trend toward upgrading of e-commerce sites, the company projects revenue growth of between 16% and 20% this year.
Chief Technology Editor
Revenue grew 33% from $103.2 million in 2006 to $137.1 million in 2007 at Art Technology Group Inc. Noting a trend toward upgrading of e-commerce sites, the platform provider projects revenue growth of between 16% and 20% this year.
"2007 was an exceptional year for ATG, marked by revenue growth of 33% and product license bookings growth of 32%," says Bob Burke, ATG`s president and CEO. "The acceleration in our business throughout the year is indicative of what`s going on in the market; companies are requiring more sophisticated and scalable e-commerce solutions in order to increase customer loyalty, conversion rates, and revenue. We believe we are in the early stages of an e-commerce re-platforming trend and expect healthy demand to continue into 2008."
ATG reported a net loss for the year of $4.2 million, compared with a net profit of $9.7 million in 2006. The company has previously noted it is deferring more revenue, which will show up in future results. As of Dec. 31, 2007, the company had $46.4 million in deferred revenue, up 92% from a year earlier.
Cash flow from operations for 2007 was $26.3 million, up 246% from $7.6 million the prior year.
For the fourth quarter of 2007, revenue was $39.3 million, a 22% increase over $32.2 million in Q4 2006. Net income in Q4 2007 was $782,000, down from $5.1 million in the prior-year quarter, according to the U.S. accounting standards known as Generally Accepted Accounting Principles, or GAAP. Excluding certain non-recurring and non-cash items, non-GAAP net income in the fourth quarter was $4.1 million, compared with $4.6 million in Q4 2006.
For 2008, ATG projects revenue of between $159 million and $165 million, which would represent an increase of 16% to 20% from 2007. GAAP net income is projected to come in between a net loss of $4 million and a $1 million profit; non-GAAP net income is projected at between $9 million and $15 million. ATG, which is based in Cambridge, MA, projects cash flow from operations this year in the range of $28 million to $32 million.