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Autonomy Corporation plc Announced Results for the Year Ended December 31, 2010

February 1, 2011

CAMBRIDGE, England, February 1, 2011 /PRNewswire-FirstCall/ — Autonomy
Corporation plc (LSE: AU. or AU.L) today reported financial results for the
twelve months and fourth quarter ended December 31, 2010. Continuing adoption
of Autonomy’s industry-leading Meaning Based Computing technology by
blue-chip companies is delivering strong revenues, profits and cash flow.

    Highlights

    - Record full year revenues of $870 million, up 18% from 2009

    - All 2010 financial metrics in line with analyst consensus
      estimates (Bloomberg as at 1/11/2011)

    - Revenues $870 million (consensus $868 million)

    - PBT(adj.) $379 million (consensus $360 million)

    - Op margin (adj.) 43% (consensus 41%)

    - Strong growth in core IDOL business, including IDOL OEM
      growth of 32% and strong growth in IDOL Cloud revenues (Q4 up 12%
      year-on-year) with increasing contracts reflected in our "commit"
      number

    - Full year organic growth in core business of 17% (2009: 22%)

    - Rise in deferred revenue from last quarter, up to $178
      million (Q3 2010: $168 million)

    - Operating margins (adj.) in Q4 at 45%; up significantly from
      40% in Q3 2010

    - Full year diluted EPS (adj. IFRS) at $1.20* up 24% from 2009
      (IFRS: $0.89, up 12%)

    - Cash conversion for 2010 at 87%, up significantly from 80%
      in 2009

    - 94 seven figure deals in 2010, up 42% from last year

    - Average selling price for 2010 rises to $790,000

    - Strong investment in business with R&D up 16% from 2009

    - Positive cash flow generated by operations of $363 million
      (2009: $287 million), up 27%

    - Gross cash of $1,061 million at year end and no net debt

    -----

    * on the basis that if the share price were to be above
    GBP20.63 in February 2015 the convert would generate extra shares giving
    diluted EPS (adj.) at $1.11. See note 6.

Adjusted income statements are included on page 8, which reconcile IFRS
to the adjusted measures above.

Chief Executive’s Review

Commenting on the results, Dr Mike Lynch, Group CEO of Autonomy, provided
the following overview of the year:

“2010 was a year of transition for us. During the year Autonomy’s
technology and its ability to extract meaning from human friendly information
has spearheaded the Meaning Based Computing movement forward with new
applications of the technology and mission critical usages by our customers.
Human friendly information and the need to process it has continued to grow
rapidly with applications in customer interaction, legal, regulatory and, as
a result of new smart phone technology, mobile leading the way.

This year we have seen Autonomy become one of the leading players in
cloud computing as our customers, who can choose to take up our core
functionality by traditional licence, IDOL OEM or IDOL Cloud offering, have
transitioned to the private cloud model faster than expected. This trend can
be seen in the unexpected rise in our ‘commit’ metric (contracts entered into
by the customer with an expected minimum spend). The IDOL OEM and IDOL Cloud
routes are highly attractive to us as they turn one-off sales into multi-year
committed annuity streams, and these new fast growing routes have become the
dominant usage models for our technology. However there is a short-term
effect of depressing growth rates as those one-off sales which were
recognised immediately are replaced by longer-term but more valuable annuity
streams.

Autonomy continues to be chosen to handle the world’s most complex legal
cases and regulatory issues, for both corporates and regulators, including
the largest lawsuits in the world such as BP and as reported by industry
analysts has continued to gain market share in areas such as legal and
archiving. We are particularly pleased to see the very high growth rates in
IDOL OEM, which is now seeing IDOL used by most major software companies
across almost all sectors of the software industry.

The year saw strong investment in the future of the business with the
opening of new offices in Latin America, increased R&D spend and investment
in the infrastructure for this cloud capability with Autonomy now handling
over 17 petabytes of critical customer information in the cloud. Whilst we
continue to provide our core IDOL technology in whichever model the customer
chooses, we are delighted with the transition to the cloud, and expect to
reap the benefits of the now cumulative subscription revenues in years to
come.

Unlike others in the sector, Autonomy’s business thrived during the
downturn resulting in Autonomy reporting growth on growth unlike others who
are now seeing growth as a return to normal levels. In light of these tougher
comparative periods due to our strong growth in 2009, and the transition to
longer-term value revenue models, Autonomy continues to perform well.

In 2010 we saw transitions in the business and significant investments
for which we expect to reap the rewards in coming years. We also saw in Q3
2010 volatility in customer assessment of the macro environment, which now
seems to have reduced.

During the course of 2010 we saw the balance of our business shift
towards IDOL Cloud and IDOL OEM being the key drivers of our business. We
believe the growth rates seen across our business lines in Q4 2010 projected
forward provide a solid baseline on top of which our current record pipeline
and “commit” imply that current market expectations are conservative.”

Operations Review

Progress Towards Strategic Goals. During 2010 we made significant
progress on our strategic goals, including in the following areas:

    - New standardisation agreements further cementing IDOL within
      the enterprise as the core platform for processing unstructured
      information, including Amgen, Bank of America, BNP Paribas, BP,
      Cigna, Philip Morris International and Play.com, and continued strong
      conversion of law firm customers from other suppliers.

    - 57% of sales during the year were from existing customers
      extending their investment in IDOL in new business areas.

    - Many more third party software products are now built on
      IDOL with 42 new and extended relationships with major software
      providers including: Nuance, Xerox and Cisco. Growth in this area
      accelerated to 32% during 2010.

    - Strong growth in the IDOL Cloud business, Q4 2010 up 12%
      year-on-year, increasing the level of recurring revenue and securing
      lifetime customer relationships.

    - Autonomy's market position remained strong with the Average
      Selling Price (ASP) for IDOL technology rises to $790,000 during FY
      2010 and 94 deals in excess of $1 million signed.

    - $115 million invested in R&D resulting in a significant new
      product offering to the Healthcare sector.

    - Rated number one across multiple industry analyst reports
      and segments, as discussed below.

Sales and Customers. As expected, the adoption of our technology for
“Protect” usages continued strongly throughout the year driven by a whole
series of new regulations coming into effect which is driving our business.
We are still seeing very large deals in this area and expect this to continue
for the foreseeable future across most industry sectors. We have also seen
strong take-up of our technology for “Promote” usages, with customers such as
Allstate, AT&T, Belgacom, Blackrock, BNP Paribas, Canadian Broadcasting
Corporation, Euronews, Health Care Services Corporation, Safeway and Verizon
during the year. Our multi-channel offerings including optimisation and
real-time analytics have proven extremely attractive, leading to the
company’s largest ever deal in this area. At the close of the year, Autonomy
was pleased to count virtually the entire Fortune 1000 group of companies as
customers.

R&D. We continued to invest heavily in R&D during the year resulting in
the launch of a major new initiative targeted at Healthcare during 2010 and
another major launch imminent. The net impact of R&D capitalisation on the
operating margin was in the order of 2%, the same as in 2009.

Market Position and Penetration. Autonomy’s market leadership position
strengthened during 2010. We saw a continuation of the “chaining” effect as
customers deploy IDOL across functional areas that have traditionally been
isolated and served by different software vendors. Ultimately this leads to a
growing number of enterprise-wide standardisation customers. Competition
during the year also became slightly more benign with major players pulling
out of our market.

Amongst industry analysts we elevated our positions, being rated number
one across multiple industry analyst reports and segments, including IDC’s
Worldwide Search and Discovery Software 2010-2014 forecast, and the Forrester
Wave 2010 for Online Testing. Other accolades included:

    - Rated by IDC as fastest-growing archiving software company
      and the leading provider of search and discovery software

    - Rated "Strong Positive" in Gartner's 2010 eDiscovery market
      report

    - Positioned as leader in Gartner's 2010 Magic Quadrant for
      Web Content Management

    - Achieved the highest score in the Forrester Wave 2010 for
      Online Testing, based on current offering, product strategy, corporate
      strategy and market presence

Operations. During the year we increased management breadth with the
appointment and promotion of senior management across all areas of the
business, including a new head of Latin American sales. We also massively
expanded our data centre capacity and opened new offices in emerging markets
such as Brazil.

During 2010 we welcomed two new highly-skilled individuals to the Board
as Non-Executive Directors. Jonathan Bloomer, our new permanent chair of the
Audit Committee, brings extensive financial and management expertise.
Professor Frank Kelly brings an academic background to contribute to the
extension of Autonomy’s world-leading technology.

Financial Review

In 2010 Autonomy commenced providing supplemental metrics as part of its
financial results to assist in the understanding and analysis of Autonomy’s
business.

Revenue

2010 can be characterised as another year of significant progress for
Autonomy. Revenues for 2010 totalled $870 million, up 18% from $740 million
for 2009, as enterprises deployed Autonomy’s technology to extract maximum
value from rapidly expanding quantities of unstructured information. This
result was achieved due to a strong performance in all of our markets.

During 2010 Autonomy completed 94 deals over $1.0 million (2009: 66). In
2010 Americas revenues of $592 million represented 68% of total revenues, and
Rest of World revenues of $278 million represented 32% of total revenues.

Autonomy’s strategy to deepen the penetration of IDOL across all areas of
the enterprise is proving successful, as the high level of repeat business
demonstrates, with 57% of 2010 revenues from existing customers (2009: 48%).
As customers return for additional technology, the scale of projects
increases, with greater levels of functionality and connectivity.

Delivery of Autonomy’s core technology is via a number of methods,
depending on the demands of the customers. Comparative data for prior years
is not available for the analysis of each line item as the information
required to present the information in this manner was only captured with
effect from January 1, 2010. The analysis below includes all available
information.

Sales during 2010 and Q4 2010 were as follows, with the trends as
discussed above:

IDOL Product. IDOL Product is normally delivered as licensed software
paid for up-front with an ongoing support and maintenance stream. This model
is becoming less significant with the rise of cloud computing. In 2010, IDOL
Product revenue totalled $251 million. In Q4 2010 IDOL Product revenue
totalled $84 million, representing 34% of revenues.

IDOL Cloud. IDOL Cloud delivers Autonomy’s IDOL on a
Software-as-a-Service (SaaS) model, which is generally invoiced monthly in
arrears and does not generate deferred revenue. There are two key drivers of
cloud revenues for Autonomy: the first and most significant relates to
complex processing of information delivered as a service, the second relates
to the quantity of data under management. In 2010 IDOL Cloud revenue totalled
$190 million and the “commit” number rose to approximately $370 million, up
from $347 million in Q3 2010. In Q4 2010 IDOL Cloud revenue totalled $51
million
, representing 21% of revenues.

IDOL OEM. IDOL OEM is where Autonomy’s IDOL is embedded inside other
software companies’ products. IDOL is now embedded in most major software
companies’ products addressing most software vertical markets. This is a
particularly important revenue stream as it generates ongoing business across
the broadest product set possible, in addition to up-front development
licences. In 2010 IDOL OEM revenue totalled $132 million, up 32% from 2009.
In Q4 2010 IDOL OEM revenue totalled $34 million (Q4 2009: $27 million)
representing 14% of revenues. 42 new agreements were signed during 2010 with
10 new agreements signed during Q4 2010, including deals with Nuance, HP and
Vericept.

Deferred Revenue Release. Deferred revenue release stems principally from
support and maintenance contracts recognized in arrears. In 2010 deferred
revenue release totalled $255 million (2009: $212 million), up 20%. In Q4
2010 deferred revenue release totalled $66 million (Q4 2009: $61 million), up
8%. As discussed during the company’s Q3 2010 results conference call, Q4
2010 saw the expected positive seasonal effect as the calendarisation of
Interwoven support and maintenance contracts unwound.

Services. Services revenues relate to third party and internal
implementation consultants and training. Services revenues remained flat in
2010 at approximately 5% of revenues (or $10 million to $11 million per
quarter) (2009: $9 million to $11 million per quarter). Autonomy operates a
rare “pure software” model under which our goal is that most implementation
work is carried out by approved partners. This optimises Autonomy’s ability
to address its horizontal technology to multiple vertical markets and regions
in the most efficient way.

Q4 Customers

During Q4 we saw deals with new and existing customers including: Ahold,
Allstate, Amazon, Amgen, AT&T, Bank of America, Belgacom, Blackrock, BNP
Paribas, CIGNA, Dexia, Euronews, Goodyear, Health Care Services Corporation,
Qualcomm, Repsol, Safeway, Sunlife Insurance and Verizon. As expected we saw
no change to the demand backdrop among our key government clients, resulting
in new and extended agreements in Australia, Canada, Italy, Kuwait,
Singapore, Slovakia, the U.K. and the U.S.A.

Organic Growth

In analysing organic growth Autonomy considers organic IDOL growth to be
the most meaningful performance metric for understanding the momentum within
the business. This excludes the contribution from acquisitions, foreign
exchange impact, services revenue (not a goal of the business) and deferred
revenue release (primarily maintenance income).

    Table 1: Core Business Organic Revenue Growth Calculation(1)

    Revenue ($ millions)               2010    2009    Q4'10   Q4'09

    Core IDOL reported revenues(2)      574     491     169     153
    IWOV stub revenues(3)                 -       4       -       -
    Microlink/CA non-service revenue(4)   -       -       -       -
    FX                                    4       -       3       -
                                        578     495     172     153

    Growth                               17%             12%

    1 Autonomy's Core Business above excludes services and deferred revenue.

    2 Core IDOL is made up of IDOL Product, IDOL Cloud and IDOL OEM
      categories, discussed above.

    3 Interwoven stub revenues are for licence for the period January 1, 2009
      through to March 16, 2009.

    4 Microlink did not have its own product lines but only services. CA unit
      original product not sold by Autonomy.

Gross Profits and Gross Margins

Gross profits (adj.) for 2010 were $759 million, up 16% from $652 million
for 2009. Gross margins (adj.) for 2010 were 87%, compared to 88% for 2009,
with the effects in 2010 of the slightly lower margin IDOL Cloud business
being balanced by the higher margin IDOL OEM royalties. Gross profits (IFRS)
for 2010 were $702 million, up 16% from $602 million for 2009. Gross margins
(IFRS) for 2010 were 81%, compared to 81% for 2009. During the year Autonomy
has seen success in addressing the urgent needs of a small number of
customers with package solutions, constructed of services, hardware and
software, such as Arcpliance. The gross margin in these cases is lower than
the normal business.

Gross profits (adj.) for Q4 2010 were $211 million, up 6% from $199
million
for Q4 2009. Gross margins (adj.) for Q4 2010 were 86%, compared to
89% for Q4 2009. Gross profits (IFRS) for Q4 2010 were $197 million, up 7%
from $185 million for Q4 2009. Gross margins (IFRS) for Q4 2010 were 81%,
compared to 83% for Q4 2009.

Operating Expenses

Management took the opportunity during this year of transition to invest
in personnel, the indirect channel, discretionary marketing activities, new
product launches and new offices such as Brazil to ensure the company is in
an ideal position to benefit from any upturn in the global macro-economic
environment.

Total operating costs in 2010 rose 17% year-on-year to $385 million
(2009: $330 million). Adjusting in 2010 for acquisition restructuring costs
of $3.5 million, and the effects of foreign exchange, underlying operating
costs increased by 18% in 2010. This is primarily because of new marketing
campaigns undertaken by Autonomy during the year, the acquisitions of
Microlink and CA’s Information Governance assets, as well as the additional
commission expense associated with a higher level of sales.

Profit from Operations and Operating Margins

Profit from operations (adj.) for 2010 was $377 million, up 14% from $329
million
for 2009. Operating margins (adj.) were 43% in 2010, down from 44% in
2009, and returned to the company’s target range during Q4. Profit from
operations (IFRS) for 2010 was $316 million, up 16% from $272 million for
2009. Operating margins (IFRS) were 36% in 2010 down from 37% in 2009.

During the year we did significant work on one specific acquisition
target and during the fourth quarter we expensed the costs relating to this
work. The transaction was delayed due to changes in the targeted asset; this
asset has not transacted with any other party.

Profit from operations (adj.) for Q4 2010 was $109 million, down 3% from
$113 million for Q4 2009. Operating margins (adj.) were 45% in Q4 2010, down
from 50% in Q4 2009, affected by discretionary spend discussed above but
within the company’s target range. Profit from operations (IFRS) for Q4 2010
was $99 million, up 2% from $97 million for Q4 2009. Operating margins (IFRS)
were 40% in Q4 2010 compared to 43% in Q4 2009.

Interest payable

Interest payable for 2010 totalled $41.3 million, up 486% from $7.0
million
in 2009. The increase is a result of a charge of $35.2 million in
relation to the convertible loan notes issued in March 2010. The convertible
loan notes pay a cash coupon of 3.25%. The income statement charge is
notional and is based on a market rate of interest for corporate loan notes
of similar term without a convertible element in accordance with IFRS. The
remainder of the interest payable relates to the company’s bank loan incurred
in connection with the Interwoven acquisition in 2009, which have decreased
during the year due to scheduled repayments.

Taxation

The effective tax rate for 2010 was as forecast at 23%, down from 28% for
2009. The decrease from 2009 is the result of changes in the profit mix
between the UK and overseas, as well as the completion of tax studies
resulting in the recognition of additional tax losses. The effective tax rate
for 2011 will likely be in the range of 27-29% as the one-off benefit in 2010
in relation to the utilisation of tax losses will not be repeated.

Foreign Exchange Impact on Revenues

The effect on revenue of movements in foreign exchange rates in 2010 was
a decrease of $4 million compared to 2009 (i.e. if revenues were reported for
each quarter using the same exchange rates as those prevailing in the
previous year, revenues in 2010 would have been $4 million higher, or $874
million
). In 2010 the U.S. Dollar strengthened slightly versus Sterling to an
average of $1.55 versus $1.57 in 2009.

The effect on revenue in Q4 2010 of movements in foreign exchange rates
was a decrease of $3 million compared to Q4 2009. In Q4 2010 the U.S. Dollar
strengthened slightly versus Sterling to an average of $1.58 versus $1.63 in
Q4 2009.

Net Profits

Net profit (adj.) in 2010 was $292 million compared to net profit (adj.)
of $233 million for 2009. Net profit (adj.) in Q4 2010 was $88 million
compared to net profit (adj.) of $80 million for Q4 2009.

Net profit (IFRS) in 2010 was $217 million compared to net profit (IFRS)
of $192 million for 2009. Net profit (IFRS) in Q4 2010 was $70 million
compared to net profit (IFRS) of $69 million for Q4 2009.

IAS 38 Charges and Capitalization

In 2010, Autonomy expensed $115 million (2009: $99 million) on R&D
relating to new products including the development of Meaning Based
Healthcare technology, new core IDOL functionality and other ongoing
development projects. Under IAS 38 the company is required to capitalize
certain aspects of its research and development activities. R&D
capitalization in 2010 was $39 million (2009: $25 million) and in Q4 2010 was
$13 million (Q4 2009: $6 million). R&D capitalization for 2010 is offset by
amortization charges of $17 million (2009: $9 million) and for Q4 2010 by $5
million
(Q4 2009: $3 million) arising from historical R&D capitalization.

The capitalization and offsetting charges resulted in a net credit
(before tax) in the year of $21 million (2009: $16 million), and a net margin
impact of 2% (2009: 2%).

EPS

EPS (adj.) for 2010 was $1.20 (2009: $0.97), which represents 24% growth
over the year, and in Q4 2010 was $0.36 (Q4 2009: $0.33). If one was to
assume that the convertible loan notes had already converted then EPS (adj.)
for 2010 would have been $1.11 (2009: $0.97), and in Q4 2010 was $0.33 (Q4
2009: $0.33). EPS (IFRS) for 2010 was $0.89 (2009: $0.80), which represents
12% growth over the year, and in Q4 2010 was $0.29 (Q4 2009: $0.29).

This result was achieved against the unusually strong performance a year
ago, and after the substantial discretionary investment in sales and
marketing, research and development and new product launches.

Balance Sheet and Cash Flows

Cash Balance. Autonomy closed 2010 with a gross cash balance of $1.1
billion
, bank debt of $145 million (2009: $198 million), the convertible loan
note of $682 million and no net debt.

    Movements. Movements of note in cash flow during 2010 included:

    - Positive cash flow from operating activities of $302 million, up 21%
      from $250 million in 2009.

    - Capital expenditure of $60 million during 2010, up from $34 million in
      2009. This represents the continued investment of the company in areas
      of expected growth for future years.

    - Expenditure on product development, resulting in a cash outflow of $39
      million (2009: $25 million), as discussed above.

    - Acquisition of Microlink and CA's Information Governance assets for
      aggregate consideration of approximately $79 million.

    - Proceeds of approximately $762 million through the issuance of
      convertible loan notes in March 2010, offset by interest payments of
      $13 million during 2010 representing the first semi-annual payment of
      the coupon rate of 3.25%.

    - Scheduled bank loan repayments of $54 million (2009: $37 million).

Cash Conversion. On a twelve month basis, which accounts for the
seasonality of the business, cash conversion improved to 87% (2009: 80%).
Given the growth profile of the Company 87% approximates to the theoretical
maximum that should be achievable. Cash conversion was 84% in Q4 (Q4 2009:
58%), and within the company’s target range.

Receivables. In Q4 2010 DSOs were 94 days (Q4 2009: 88 days), just above
the top end of the company’s target 80-90 day range but in line with normal
historic fluctuations The bad debt write off was below 1% of sales and
accrued income remained below 5% of revenue.

Deferred Revenue. Deferred revenue increased to $178 million at the end
of Q4 2010 (Q4 2009: $174 million). This increase has been achieved despite
the trend towards pay-as-you-go cloud models. It is worth noting that our
IDOL Cloud and IDOL OEM revenue streams do not generate deferred revenue in
the same way as the traditional models.

    Five Year Financial Summary

    Table 2: Five Year Financial Summary

    ($'000s)                 2010    2009    2008    2007    2006

    Revenue                   870     740     503     343     251
    Profit before tax         379     323     209     113      69
    (adj.)
    Net cash generation       363     287     179      83      47

    Operating margin           43%     44%     41%     32%     27%
    (adj.)*
    Diluted EPS (adj.       $1.20   $0.97   $0.68   $0.38   $0.26
    IFRS)**

    * See adjusted measures as calculated on page 8

    ** Diluted EPS (adj.) at $1.11, see note 6

Scheduling of Conference Call and Further Information

Autonomy’s results conference call will be available live at
http://www.autonomy.com on February 1, 2011, at 9:00 a.m. GMT/4:00 a.m.
EST
/1:00 a.m. PST.

From time to time the Company answers investors’ questions on its website
which may include information supplemental to that set forth above. Questions
and answers can be found at: http://www.autonomy.com/investors/questions.

Financial Calendar

The company publishes on its website the expected calendar for full and
half year results, and interim trading updates, and associated conference
calls. Please visit www.autonomy.com/content/Investors/calendar/index.en.html
for the current expected calendar.

About Autonomy Corporation plc

Autonomy Corporation plc (LSE: AU. or AU.L), a global leader in
infrastructure software for the enterprise, spearheads the Meaning Based
Computing movement. IDC recently recognized Autonomy as having the largest
market share and fastest growth in the worldwide search and discovery market.
Autonomy’s technology allows computers to harness the full richness of human
information, forming a conceptual and contextual understanding of any piece
of electronic data, including unstructured information, such as text, email,
web pages, voice, or video. Autonomy’s software powers the full spectrum of
mission-critical enterprise applications including pan-enterprise search,
customer interaction solutions, information governance, end-to-end
eDiscovery, records management, archiving, business process management, web
content management, web optimization, rich media management and video and
audio analysis.

Autonomy’s customer base is comprised of more than 20,000 global
companies, law firms and federal agencies including: AOL, BAE Systems, BBC,
Bloomberg, Boeing, Citigroup, Coca Cola, Daimler AG, Deutsche Bank, DLA
Piper, Ericsson, FedEx, Ford, GlaxoSmithKline, Lloyds Banking Group, NASA,
Nestle, the New York Stock Exchange, Reuters, Shell, Tesco, T-Mobile, the
U.S. Department of Energy, the U.S. Department of Homeland Security and the
U.S. Securities and Exchange Commission. More than 400 companies IDOL OEM
Autonomy technology, including Symantec, Citrix, HP, Novell, Oracle, Sybase
and TIBCO. The Company has offices worldwide. Please visit www.autonomy.com
to find out more.

    Autonomy and the Autonomy logo are registered trademarks or trademarks of
Autonomy Corporation plc. All other trademarks are the property of their
respective owners.

                           Autonomy Corporation plc
                     Condensed Consolidated Income Statement
                    (in thousands, except per share amounts)

                                      Twelve Months Ended  Three Months Ended
                                      (unaudited)          (unaudited)

                                      Dec 31,    Dec 31,   Dec 31,   Dec 31,
                                        2010       2009      2010      2009

    Continuing operations               $'000      $'000     $'000     $'000
    Revenues (see note 3)             870,366    739,688   244,505   223,111
    Cost of revenues (excl.
    amortization)                    (111,513)   (87,747)  (33,518)  (23,686)
    Amortization of purchased
    intangibles                       (57,280)   (49,650)  (13,793)  (14,601)
    Total cost of revenues           (168,793)  (137,397)  (47,311)  (38,287)
    Gross profit                      701,573    602,291   197,194   184,824
    Operating expenses:
    Research and development         (114,752)   (98,785)  (29,776)  (26,141)
    Sales and marketing              (204,109)  (170,797)  (56,828)  (45,621)
    General and administrative        (69,405)   (60,627)  (17,617)  (17,046)
    Other costs
    Post-acquisition restructuring     (3,468)      (846)   (1,353)        -
    costs
    Gain on foreign exchange            6,576        942     7,097       852
    Total operating expenses         (385,158)  (330,113)  (98,477)  (87,956)
    Profit from operations            316,415    272,178    98,717    96,868
    Share of (loss) profit of
    associate                          (1,816)      (273)     (891)      457
    Profit on disposal of investment      436          -       436         -
    Interest receivable                 8,458      1,205     2,776       230
    Interest payable                  (41,299)    (7,044)  (12,683)   (1,798)
    Profit before income taxes        282,194    266,066    88,355    95,757
    Income taxes (see note 4)         (64,901)   (74,515)  (17,956)  (26,363)
    Net profit                        217,293    191,551    70,399    69,394
    Basic earnings per share (see
    note 6)                              0.90       0.81      0.29      0.29
    Diluted earnings per share (see
    note 6)                              0.89       0.80      0.29      0.29

                 Reconciliation of Adjusted Financial Measures

                                      Twelve Months Ended  Three Months Ended
                                      (unaudited)          (unaudited)

                                      Dec 31,    Dec 31,   Dec 31,   Dec 31,
                                      2010       2009      2010      2009

                                        $'000      $'000     $'000     $'000
    Gross profit                      701,573    602,291   197,194   184,824
    Amortization of purchased
    intangibles                        57,280     49,650    13,793    14,601
    Gross profit (adj.)               758,853    651,941   210,987   199,425

    Profit before income taxes        282,194    266,066    88,355    95,757
    Amortization of purchased
    intangibles                        57,280     49,650    13,793    14,601
    Share based compensation (see
    note 5)                             5,979      7,173     2,044     1,994
    Post-acquisition restructuring      3,468        846     1,353         -
    costs
    Gain on foreign exchange           (6,576)      (942)   (7,097)     (852)
    Profit on disposal of investment     (436)         -      (436)        -
    Interest charge on convertible
    loan notes                         35,196          -    11,038         -
    Share of loss (profit) of
    associate                           1,816        273       891      (457)
    Profit before tax (adj.)          378,921    323,066   109,941   111,043
    Provision for income taxes        (86,705)   (90,268)  (22,122)  (30,571)
    Net profit (adj.)                 292,216    232,798    87,819    80,472

    Profit from operations            316,415    272,178    98,717    96,868
    Amortization of purchased
    intangibles                        57,280     49,650    13,793    14,601
    Share based compensation (see
    note 5)                             5,979      7,173     2,044     1,994
    Post-acquisition restructuring
    costs                               3,468        846     1,353         -
    Gain on foreign exchange           (6,576)      (942)   (7,097)     (852)
    Profit from operations (adj.)     376,566    328,905   108,810   112,611

                               Autonomy Corporation plc
                        Condensed Consolidated Balance Sheet

                                                   As at
                                                   (unaudited)

                                                   Dec 31,     Dec 31,
                                                   2010        2009

                                                     $'000       $'000
    ASSETS
    Non-current assets:
    Goodwill                                     1,361,900   1,287,042
    Other intangible assets                        400,372     399,277
    Property and equipment, net                     42,554      33,886
    Equity and other investments                    68,600      16,608
    Deferred tax asset                              16,263      24,015
    Total non-current assets                     1,889,689   1,760,828
    Current assets:
    Trade receivables, net                         267,646     230,219
    Other receivables                               62,471      45,231
    Total trade and other receivables              330,117     275,450
    Inventory                                          116         486
    Cash and cash equivalents                    1,060,600     242,791
    Total current assets                         1,390,833     518,727
    TOTAL ASSETS                                 3,280,522   2,279,555

    CURRENT LIABILITIES
    Trade payable                                  (23,443)    (14,926)
    Other payables                                 (51,968)    (54,517)
    Total trade and other payables                 (75,411)    (69,443)
    Bank loan                                      (78,745)    (52,375)
    Tax liabilities                                (33,210)    (43,338)
    Deferred revenue                              (170,256)   (164,931)
    Provisions                                      (1,661)     (2,731)
    Total current liabilities                     (359,283)   (332,818)
    Net current assets                           1,031,550     185,909

    NON-CURRENT LIABILITIES
    Bank loan                                      (66,407)   (145,152)
    Convertible loan notes                        (681,791)          -
    Deferred tax liabilities                       (91,072)    (85,087)
    Deferred revenue                                (7,421)     (8,576)
    Other payables                                  (3,702)     (1,020)
    Provisions                                      (3,597)     (5,123)
    Total non-current liabilities                 (853,990)   (244,958)
    Total liabilities                           (1,213,273)   (577,776)
    NET ASSETS                                   2,067,249   1,701,779

    Shareholders' equity:
    Ordinary shares (1)                              1,344       1,333
    Share premium account                        1,247,907   1,130,767
    Capital redemption reserve                         135         135
    Own shares                                        (788)       (845)
    Merger reserve                                  27,589      27,589
    Stock compensation reserve                      27,881      21,959
    Revaluation reserve                             47,415       4,499
    Translation reserve                            (30,161)    (12,032)
    Retained earnings                              745,927     528,374
    TOTAL EQUITY                                 2,067,249   1,701,779

    ------------

    (1) At December 31, 2010, 600,000,000 ordinary shares of
    nominal value 1/3 pence each authorized, 242,562,584 issued and
    outstanding; as of December 31, 2009, 600,000,000 ordinary shares of
    nominal value 1/3 pence each authorized, 240,574,304 issued and
    outstanding.

                             Autonomy Corporation plc
                 Condensed Consolidated Statements of Cash Flows

                                      Twelve Months Ended  Three Months Ended
                                          (unaudited)          (unaudited)

                                      Dec 31,    Dec 31,   Dec 31,    Dec 31,
                                      2010       2009      2010       2009

                                       $'000      $'000     $'000      $'000
    Cash flows from operating
    activities:
    Profit from operations           316,415    272,178    98,717     96,868
    Adjustments for:
    Depreciation and amortization     99,610     81,083    24,757     25,490
    Share based compensation           5,979      7,173     2,044      1,994
    Foreign currency movements        (6,576)      (942)   (7,097)      (852)
    Post-acquisition restructuring       698        846
    costs                                                       -        250
    Other non-cash items                   -        128         -          1
    Operating cash flows before
    movements in working cap         416,126    360,466   118,421    123,751
    Changes in operating assets and
    liabilities:
    Receivables                      (60,983)   (78,396)  (54,007)   (13,021)
    Inventories                          369        235        89        (33)
    Payables                           7,718      4,267    35,165    (38,503)
    Cash generated by operations     363,230    286,572    99,668     72,194
    Income taxes paid                (60,902)   (36,551)  (11,985)   (10,368)
    Net cash provided by operating   302,328    250,021    87,683     61,826
    activities

    Cash flows from investment
    activities:
    Interest received                  7,789      1,127     2,776        152
    Purchase of fixed assets         (59,624)   (34,429)  (19,261)   (11,031)
    Proceeds on disposal of              467          -       467          -
    investments
    Purchase of investments          (10,676)    (6,449)   (8,176)    (4,297)
    Expenditure on product           (38,542)   (24,722)  (12,696)    (5,574)
    development
    Acquisition of subsidiaries, net (79,460)  (630,052)     (658)    (1,522)
    of cash acquired
    Net cash used in investing      (180,046)  (694,525)  (37,548)   (22,272)
    activities

    Cash flows from financing
    activities:
    Proceeds from issuance of shares, 18,735     24,668      2,382    7,472
    net of issuance costs
    Proceeds from share placing, net       -    308,512
    of issuance costs                                            -        -
    Proceeds from convertible loan
    notes, net of issuance costs
                                     761,781          -          -        -
    Interest on convertible loan     (12,527)         -          -        -
    notes
    Interest on bank loan             (4,501)    (5,340)    (1,204)  (1,380)
    Repayment of bank loan           (53,906)   (37,450)         -        -
    Drawdown of bank loan                  -    200,000          -        -
    Payment of arrangement fee             -     (3,846)         -        -
    Net cash provided by financing   709,582    486,544      1,178    6,092
    activities

    Net increase in cash and cash    831,864     42,040     51,313   45,646
    equivalents
    Beginning cash and cash          242,791    199,218  1,027,739  200,732
    equivalents
    Effect of foreign exchange on    (14,055)     1,533    (18,452)  (3,587)
    cash and cash equivalents
    Ending cash and cash
    equivalents                    1,060,600    242,791  1,060,600  242,791

                            Autonomy Corporation plc
         Condensed Consolidated Statement of Comprehensive Income

                                       Twelve Months       Three Months Ended
                                       Ended
                                       (unaudited)         (unaudited)

                                       Dec 31,    Dec 31,  Dec 31,    Dec 31,
                                       2010       2009     2010       2009

                                       $'000      $'000    $'000      $'000
    Net profit                       217,293    191,551   70,399     69,394

    Revaluation of equity
    investment                        42,916      1,512      298       (967)
    Translation of overseas
    operations                       (18,129)     6,229  (15,332)    (3,995)
    Other comprehensive income        24,787      7,741  (15,034)    (4,962)
    Total comprehensive income       242,080    199,292   55,365     64,432

                                 Autonomy Corporation plc
                  Condensed Consolidated Statement of Changes in Equity

                                          Capital
                      Ordinary   Share   redemption  Own   Merger
                       shares   premium   reserve   shares reserve  Sub-total

                      $'000     $'000       $'000    $'000   $'000     $'000

    At January 1,
    2009             1,214    798,279         135     (905) 27,589   826,312
    Retained profit      -          -           -        -       -         -
    Other
    comprehensive
    income               -          -           -        -       -         -
    Stock
    compensation         -          -           -        -       -         -
    Share placing      103    308,409           -        -       -   308,512
    Share options
    exercised           16     24,079           -        -       -    24,095
    EBT options
    exercised            -          -           -       60       -        60
    Deferred tax on
    stock options.....   -          -           -        -       -         -
    At Dec 31, 2009  1,333  1,130,767         135     (845) 27,589 1,158,979

                              Stock  Revaluation
                  Sub-total  comp'n             Translation Retained
                  Forwarded reserve   reserve    reserve    earnings    Total

                     $'000     $'000   $'000      $'000      $'000      $'000

    At January 1,  826,312    14,846   2,987    (18,261)   294,016  1,119,900
    2009
    Retained
    profit               -         -       -          -    191,551    191,551
    Other
    comprehensive
    income               -         -   1,512      6,229          -      7,741
    Stock
    compensation         -     7,173       -          -          -      7,173
    Share placing  308,512         -       -          -          -    308,512
    Share options
    exercised       24,095         -       -          -          -     24,095
    EBT options
    exercised           60       (60)      -          -          -          -
    Deferred tax
    on stock
    options              -         -       -          -     42,807     42,807
    At Dec 31,
    2009         1,158,979    21,959   4,499    (12,032)   528,374  1,701,779

                                           Capital
                     Ordinary    Share   redemption  Own    Merger
                      shares    premium   reserve   shares  reserve Sub-total

                      $'000     $'000     $'000      $'000   $'000      $'000

    At January 1,
    2010              1,333 1,130,767       135       (845) 27,589  1,158,979
    Retained profit       -         -         -          -       -          -
    Other
    comprehensive
    income                -         -         -          -       -         -
    Stock compensation    -         -         -          -       -         -
    Share options
    exercised            11    19,325         -          -       -    19,336
    EBT options
    exercised             -         -         -         57       -        57
    Equity element of
    convertible loan
    notes                 -    97,815         -          -       -    97,815
    Deferred tax on
    stock options         -         -         -          -       -         -
    At Dec 31, 2010   1,344 1,247,907       135       (788) 27,589 1,276,187

                  Sub-total  Stock  Revaluation
                            comp'n              Translation Retained
                  Forwarded reserve   reserve     reserve   earnings   Total

                     $'000   $'000   $'000       $'000       $'000     $'000

    At
    January 1,
    2010         1,158,979  21,959   4,499     (12,032)    528,374 1,701,779
    Retained
    profit               -       -       -           -     217,293   217,293
    Other
    comprehensive
    income               -       -  42,916     (18,129)          -    24,787
    Stock
    compensation         -   5,979       -           -           -     5,979
    Share options
    exercised       19,336       -       -           -           -    19,336
    EBT options
    exercised           57     (57)      -           -           -         -
    Equity
    element of
    convertible
    loan notes      97,815       -       -           -           -    97,815
    Deferred tax
    on stock
    options              -       -       -           -         260       260
    At Dec 31,
    2010         1,276,187  27,881  47,415     (30,161)    745,927 2,067,249

AUTONOMY CORPORATION plc

NOTES TO THE CONDENSED SET OF CONSOLIDATED FINANCIAL STATEMENTS FOR THE
THREE AND TWELVE MONTHS ENDED DECEMBER 31, 2010 – UNAUDITED

1. General information

The accompanying quarterly and twelve month consolidated financial
statements of Autonomy Corporation plc are based on the company’s financial
statements which are prepared in accordance with International Financial
Reporting Standards as adopted for use in the EU (“IFRS”). The quarterly and
twelve month consolidated financial statements have been prepared using
accounting policies consistent in all material respects with those to be
applied in the Company’s Annual Report for the year ended December 31, 2010
and those applied in the Company’s Annual Report for the year ended December
31, 2009
. While the financial information included in this preliminary
announcement has been prepared in accordance with the recognition and
measurement criteria of International Financial Reporting Standards (IFRSs),
this announcement does not itself contain sufficient information to comply
with IFRSs. The Company expects to publish full financial statements that
comply with IFRSs in February 2011.

Quarterly and twelve month information is unaudited, but reflects all
normal adjustments which are, in the opinion of management, necessary to
provide a fair statement of results and the Company’s financial position for
and as at the periods presented. The results of operations for the three
months and twelve months ended December 31, 2010, are not necessarily
indicative of the operating results for future operating periods. The
financial information set out in the announcement does not constitute the
Company’s statutory accounts for the years ended December 31, 2010 or 2009.
The financial information for the year ended December 31, 2009, is derived
from the statutory accounts for that year which have been delivered to the
Registrar of Companies. The auditors reported on those accounts; their report
was unqualified, did not draw attention to any matters by way of emphasis
without qualifying their report and did not contain a statement under s498(2)
or (3) Companies Act 2006 or equivalent preceding legislation. The quarterly
and twelve month information should be read in connection with the Company’s
audited Consolidated Financial Statements and the notes thereto for the year
ended December 31, 2009. The audit of the statutory accounts for the year
ended December 31, 2010, is not yet complete. These accounts will be
finalised on the basis of the financial information presented by the
directors in this preliminary announcement and will be delivered to the
Registrar of Companies following the Company’s annual general meeting. This
announcement was approved by the Board of Directors on February 1, 2011.

2. Accounting policies

Whilst the financial information included in this quarterly and twelve
month announcement has been computed in accordance with International
Financial Reporting Standards (IFRSs), this announcement does not itself
contain all of the disclosures required by IFRSs.

Basis of preparation

The same accounting policies, presentation and methods of computation are
followed in the condensed set of financial statements as applied in the
group’s 2009 Annual Report, except for as described below.

Adoption of new and current standards

The accounting policies adopted in the preparation of the preliminary
announcement are consistent with those followed in the preparation of the
Group’s financial statements for the year ended December 31, 2009, except for
the adoption of new standards and interpretations. In the current financial
year, the Group has adopted International Financial Reporting Standard 3
(Revised 2008) “Business Combinations” and International Accounting Standard
27 (Revised 2008) “Consolidated and Separate Financial Statements” as
required, and will apply these principles throughout the year. Adoption of
these standards did not have any significant effect on the financial position
or performance of the Group.

Going Concern

The group has considerable financial resources together with a
significant number of customers across different geographic areas and
industries. At December 31, 2010 the group has cash balances of $1,061
million
and total debt of $827 million. The group has no net debt. As a
consequence, the directors believe that the group is well placed to manage
business risks successfully despite the current uncertain economic outlook.

After making enquiries and considering the cash flow forecasts of the
group the directors have a reasonable expectation that the group has adequate
resources to continue in operational existence for the foreseeable future.
Accordingly, they continue to adopt the going concern basis in preparing the
twelve month and quarterly consolidated financial statements.

2. Accounting policies (continued)

Adjusted Results

Although IFRS disclosure provides investors and management with an
overall view of the Company’s financial performance, Autonomy believes that
it is important for investors to also understand the performance of the
Company’s fundamental business without giving effect to certain specific,
non-recurring and non-cash charges.

Consequently, the non-IFRS (adj.) results exclude share of profit/loss of
associates, profit on disposal of investment, interest on convertible loan
notes, post-acquisition restructuring costs and non-cash charges for the
amortization of purchased intangibles, share-based compensation, non-cash
translational foreign exchange gains and losses and associated tax effects.
Management uses the adjusted results to assess the financial performance of
the Company’s operational business activities.

See reconciliations on page 8.

3. Segmental information

The Company is organized internally along group function lines with each
line reporting to the group’s chief operating decision maker, the Chief
Executive Officer. The primary group function lines include: finance;
operations, including legal, HR, and operations, marketing, sales and
technology. Each of these functions supports the overall business activities,
however they do not engage in activities from which they earn revenues or
incur expenditure in their operations with each other. No discrete financial
information is produced for these function lines. The Company integrates
acquired businesses and products into the Autonomy model such that separate
financial data on these entities is not maintained post acquisition.

The group has operations in various geographic locations however no
discrete financial information is maintained on a regional basis. Decisions
around the allocation of resources are not determined on a regional basis and
the chief operating decision maker does not assess the group’s performance on
a geographic basis.

The group is a software business that utilises its single technology in a
set of standard products to address unique business problems associated with
unstructured data. The group offers over 500 different functions and
connectors to over 400 different data repositories as part of its product
suite. Each customer selects from a list of options, but underneath from a
single unit of the proprietary core technology platform. As a result, no
analysis of revenues by product type can be provided.

Each of the group’s virtual brands is founded on the group’s unique
Intelligent Data Operating Layer (IDOL), the group’s core infrastructure for
automating the handling of all forms of unstructured information. Separate
financial information is not prepared for each virtual brand to assess its
performance for the purpose of resource allocation decisions. The pervasive
nature of the group’s technology across each brand requires decisions to be
taken at the group level and financial information is prepared on that basis.

A significant proportion of the group’s cost base is fixed and represents
payroll and property costs which relate to the multiple function lines of the
group. As a result the business model drives enhanced performance though
growing sales and accordingly group wide revenue generation is the key
performance metric that is monitored by the chief operating decision maker.
The revenue financial data used to monitor performance is prepared and
compiled on a group wide basis. No separate revenue financial analysis is
maintained on revenues from any of the virtual brands.

The Company’s chief operating decision maker is the group’s Chief
Executive Officer, who evaluates the performance of the Company on a group
wide basis and any elements within it on the basis of information from junior
executives and group financial information and is ultimately responsible for
entity-wide resource allocation decisions.

As a consequence of the above factors the group has one operating segment
in accordance with IFRS 8 “Operating Segments”. IFRS 8 also requires
information on a geographic basis and that information is shown below.

3. Segmental information (continued)

The group’s operations are located primarily in the United Kingdom, the
US and Canada. The Company also has a significant presence in a number of
other European countries as well as China, Japan, Singapore and Australia.
The following tables provide an analysis of the group’s sales and net assets
by geographical market based upon the location of the group’s customers.

                                   Twelve Months Ended   Three Months Ended
                                   (unaudited)           (unaudited)

                                   Dec 31,    Dec 31,    Dec 31,   Dec 31,
                                   2010       2009       2010      2009

    Revenue by region:             $'000      $'000      $'000     $'000

    Americas                     592,358    517,185    168,443   162,341
    Rest of World                278,008    222,503     76,062    60,770
    Total                        870,366    739,688    244,505   223,111

       Information about these geographical regions is presented below:

                                       Twelve Months Ended
                                           (unaudited)

                              Dec 31, 2010              Dec 31, 2009
                        Americas   ROW    Total   Americas  ROW     Total

                          $'000    $'000   $'000    $'000    $'000   $'000

    Result by region    196,203  117,104 313,307  212,775   59,307  272,082
    Post-acq'n
    restruct. costs                       (3,468)                      (846)
    Gain on foreign
    exch                                   6,576                        942
    Operating profit                     316,415                    272,178
    Share of loss of
    associate                             (1,816)                      (273)
    Profit on disposal
    of invest                                436                          -
    Interest receivable                    8,458                      1,205
    Interest payable                     (41,299)                    (7,044)
    Profit before tax                    282,194                    266,066
    Tax                                  (64,901)                   (74,515)
    Profit for the
    period                              217,293                  191,551

                                      Three Months Ended
                                           (unaudited)

                              Dec 31, 2010             Dec 31, 2009
                        Americas    ROW    Total   Americas  ROW    Total

                           $'000  $'000    $'000    $'000  $'000    $'000

    Result by region      32,743 60,230   92,973   76,549 19,467   96,016

    Post-acq'n
    restruct. costs                       (1,353)                       -
    Gain on foreign
    exch.                                  7,097                      852
    Operating profit                      98,717                   96,868
    Share of (loss)
    profit of associate                     (891)                     457
    Profit on disposal
    of invest                                436                        -
    Interest receivable                    2,776                      230
    Interest payable                     (12,683)                  (1,798)
    Profit before tax                     88,355                   95,757
    Tax                                  (17,956)                 (26,363)
    Profit for the
    period                                70,399                   69,394

    4. Income taxes

                                 Twelve Months Ended   Three Months Ended
                                   (unaudited)           (unaudited)

                                  Dec 31,    Dec 31,    Dec 31,    Dec 31,
                                   2010       2009       2010       2009

    Tax charge (credit) by region: $'000      $'000      $'000      $'000
    UK                            52,513     46,413     21,050     22,562
    Foreign                       12,388     28,102     (3,094)     3,801
    Total                         64,901     74,515     17,956     26,363

    5. Share based compensation

Share based compensation charges have been charged in the consolidated
income statement within the following functional areas:

                                   Twelve Months Ended  Three Months Ended
                                      (unaudited)          (unaudited)

                                     Dec 31,    Dec 31,   Dec 31,   Dec 31,
                                      2010       2009      2010      2009

                                      $'000      $'000     $'000     $'000
    Research and development          1,605     1,926        549       535
    Sales and marketing               2,932     3,517      1,002       978
    General and administrative        1,442     1,730        493       481
    Total share based compensation    5,979     7,173      2,044     1,994
    charge

    6. Earnings per share
    The calculation of the basic and diluted earnings per share is based on
the following data:

                                      Twelve Months Ended  Three Months Ended
                                      (unaudited)          (unaudited)

                                       Dec 31,    Dec 31,   Dec 31,   Dec 31,
                                         2010       2009      2010      2009

                                        $'000      $'000     $'000     $'000
    Earnings for the purposes of
    basic and
    diluted earnings per share being
    net profit (IFRS)                 217,293   191,551    70,399    69,394

    Earnings for the purposes of
    diluted earnings per share
    (adjusted - see page 8)           292,216   232,798    87,819    80,472

    Number of shares (in thousands)
    Weighted average number of
    ordinary shares for the purposes
    of basic earnings per share       241,732   237,531   242,431   240,017

    Effect of dilutive potential
    ordinary shares:
    Share options                       2,741     3,024     2,143     3,401

    Weighted average number of
    ordinary shares for the purposes
    of diluted earnings per share
    (IFRS)                            244,473   240,555   244,574   243,418

    Convertible loan notes             19,926         -    24,082         -

    Weighted average number of
    ordinary shares for the purposes
    of diluted earnings per share
    (adjusted)                        264,399   240,555   268,656   243,418

    IFRS
    Earnings per share - basic         $ 0.90    $ 0.81    $ 0.29    $ 0.29
    Earnings per share - fully diluted $ 0.89    $ 0.80    $ 0.29    $ 0.29

    Adjusted
    Earnings per share adj. -
      basic (IFRS)                     $ 1.21    $ 0.98    $ 0.36    $ 0.34
    Earnings per share adj.-
     fully diluted (IFRS)              $ 1.20    $ 0.97    $ 0.36    $ 0.33
    Earnings per share adj. - fully
     diluted (adjusted for
     conversion of loan notes)          $1.11    $ 0.97    $ 0.33    $ 0.33

Because, in our adjusted measure of profits, we exclude the interest
payable on the convertible loan notes the inclusion of the potential shares
for the convertible loan notes does not cause dilution. In order to give a
fair presentation of our adjusted diluted earnings per share we have elected
to reflect the impact of the convertible shares within our adjusted diluted
earnings per share measures.

7. Related Party Transactions

There have been no related party transactions, or changes in related
party transactions described in the latest annual report, that could have a
material effect on the financial position or performance of the group in the
financial year.

    Contacts:

    Financial Media Contacts:             Analyst and Investor Contacts:
    Edward Bridges / Haya Herbert-Burns   Derek Brown, Head of Investor
                                          Relations
    Financial Dynamics
                                          Autonomy Corporation plc
    +44(0)20-7831-3113                    +44(0)20-7104-5700

SOURCE Autonomy Corporation plc


Source: newswire



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