Interactive Intelligence Group Inc., a provider of unified business communications solutions for contact center automation, enterprise IP telephony, and business process automation all over the world has just made its third quarter operating results private for the period that ended Sept. 30, 2011.
Investors were hoping the company would come back with a vengeance this quarter after not measuring up to last quarter’s expectations. It looks like that was the case, as the company reported revenues of $52.1 million, an increase of 25 percent over the third quarter of 2010. On a GAAP basis, 2011 third-quarter operating income was $4.7 million, net income was $3.3 million, and diluted earnings per share (EPS) was $0.16, compared to an operating income of $5.6 million, net income of $3.5 million, and EPS of $0.19 in the same quarter last year, a press release revealed.
On a non-GAAP basis, operating income was $6.6 million, net income was $5.8 million, and EPS was $0.29 in the third quarter of 2011, compared to operating income of $6.7 million, net income of $7.0 million, and EPS of $0.37 in the third quarter of 2010.
"There is clearly a market shift toward cloud-based contact centers and we are focused on extending our leadership position in the high end of this segment," said Interactive Intelligence founder and CEO, Dr. Donald E. Brown in a statement. "We manage our business based on winning a customer and the long-term value of that customer. We look beyond the short-term revenue recognition effects of these transactions as we continue the strategy of building an increasing recurring revenue stream.
And with that sentiment, the call heavily concentrated on the growth of cloud-based orders received which doubled from the same quarter last year, increasing to 31 percent of total orders from 18 percent in the same quarter last year. “Within these orders, we signed one cloud contract worth 10 million which will be recognized over next five years, said Brown.
“The amount of cloud orders did have impact on the total orders number,” Brown added.
Steve Head, CEO of Interactive Intelligence, commented, “We increased professional services related to cloud customers in the 3rd quarter with these services representing 1 million.”
In the next coming months, Head revealed plans that the company is on the cusp of releasing the revamped Customer Interaction Center (CIC) 4.0 product, making it widely available and boasting speech analytics technology, with plans to soon add support for additional languages.