Yucheng Formally Adopts New Revenue Segments
Limited (Nasdaq: YTEC), a leading provider of IT Solutions to financial
service providers in
reallocation of the revenue segments for its 2008 Annual Report and all
financial statements going forward. In the future, the main revenue
categorizations will be:
-- Software & Solutions, which will include all revenues created via our
software and software-related solutions for clients.
-- Platform & Maintenance Services, which will be comprised of the
procurement and resale of third-party hardware equipment and software
applications, as well as maintenance and support services for our
clients.
-- POS will become a separate revenue category and will consist of the
revenue related to our POS terminal deployment.
The table provided below reallocates our historical revenues and
recognizes our Platform & Maintenance Services on a net basis, to assist with
multi-period comparisons.
Summary of Yucheng's Historical Revenues and Gross Profit for 2006, 2007 and
2008
(Numbers are in USD million)
2008
Q1 Q2 Q3 Q4 Annual
Software & Solutions 4.4 8.2 8.9 17.8 39.4
Platform & Maintenance Services 3.4 2.1 4.2 3.1 12.8
POS 0.3 0.4 0.6 0.8 2.1
Revenue 8.1 10.7 13.7 21.7 54.3
Cost of Revenues 3.0 3.4 5.1 9.5 21.0
Gross Profit 5.1 7.3 8.6 12.2 33.3
2007
Q1 Q2 Q3 Q4 Annual
Software & Solutions 3.1 3.4 6.3 12.0 25.3
Platform & Maintenance Services 1.3 1.8 3.4 2.1 9.0
POS 0.0 0.0 0.1 0.4 0.5
Revenue 4.4 5.2 9.8 14.5 34.8
Cost of Revenues 1.7 1.5 4.0 5.7 13.2
Gross Profit 2.7 3.7 5.8 8.8 21.6
2006
Q1 Q2 Q3 Q4 Annual
Software & Solutions 2.0 3.0 3.4 4.3 12.9
Platform & Maintenance Services 1.1 1.1 1.5 1.2 5.1
POS 0.0 0.0 0.0 0.0 0.0
Revenue 3.1 4.1 4.9 5.5 18.0
Cost of Revenues 1.0 1.5 1.5 2.4 6.6
Gross Profit 2.1 2.6 3.4 3.1 11.4
About Yucheng Technologies Limited
Yucheng Technologies Limited (NASDAQ: YTEC) is a leading IT service
provider to the Chinese financial service providers. Headquartered in
China
approximately 2,000 employees. Yucheng provides a comprehensive suite of IT
solutions to Chinese Banks including: (i) Channel Solutions, such as e-banking
and call centers; (ii) Business Solutions, such as core banking systems and
loan management; and (iii) Management Solutions, such as risk analytics and
business intelligence. Yucheng is also a leading third-party provider of POS
Merchant Acquiring Services in partnership with banks in
For Further Information
Rebecca Alexander
+1 914 613 3648
+86 10 5913 7998
ralexander@yuchengtech.com
Safe Harbor Statement
This press release includes forward-looking statements made pursuant to
the safe harbor provisions of the Private Securities Litigation Reform Act of
1995 that involve risks and uncertainties. Forward-looking statements are
statements that are not historical facts. Forward-looking statements generally
can be identified by the use of forward-looking terminology, such as “may,”
“will,” “expect,” “intend,” “estimate,” “anticipate,” “believe,” “project” or
“continue” or the negative thereof or other similar words. Such
forward-looking statements, based upon the current beliefs and expectations of
Yucheng’s management, are subject to risks and uncertainties, which could
cause actual results to differ from the forward looking statements. The
following factors, among others, could cause actual results to differ from
those set forth in the forward-looking statements: current dependence on the
PRC banking industry demand for the products and services of Yucheng;
competition from other service providers in the PRC and international
consulting firms; the ability to update and expand product and service
offerings; retention and hiring of qualified employees; protection of
intellectual property; creating and maintaining quality product offerings;
operating a business in the PRC with its changing economic and regulatory
environment; the impact on the Chinese economy caused by the world wide
recession; and the other relevant risks detailed in Yucheng filings with the
Securities and Exchange Commission. The information set forth herein should be
read in light of such risks. Yucheng assumes no obligation to update the
information contained in this press release.
SOURCE Yucheng Technologies Limited
