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Pactera Announces Fourth Quarter and Full Year 2012 Financial Results

BEIJING, Feb. 27, 2013 /PRNewswire/ -- Pactera Technology International Ltd. (Nasdaq: PACT) ("Pactera" or the "Company"), a global consulting and technology services provider strategically headquartered in China, today reported its unaudited financial results for the fourth quarter and full year 2012 ended December 31, 2012.

(Logo: http://photos.prnewswire.com/prnh/20130118/CN37843LOGO )

On November 9, 2012, HiSoft Technology International Limited ("HiSoft") and VanceInfo Technology Inc. ("VanceInfo") completed the merger of equals to form Pactera. In the fourth quarter of 2012, Pactera's financial statements consolidated the operating results and financial position of the former HiSoft's results for the whole fourth quarter and VanceInfo's results for the period from November 9, 2012 to December 31, 2012. As a result, the financial results we reported for the fourth quarter and full year 2012 are not comparable to those of prior corresponding periods due to the merger.

Fourth Quarter and Full Year 2012 Financial and Operational Highlights

  • Net revenues for the fourth quarter of 2012 were $142.2 million.
  • Pro forma net revenues[1] for the fourth quarter of 2012 were $179.3 million, an increase of 17.9% from $152.1 million for the corresponding period in 2011.
  • Diluted net loss per ADS for the fourth quarter of 2012 was $0.22.
  • Non-GAAP diluted net income per ADS[2] for the fourth quarter of 2012 was $0.24.
  • Net revenues for the full year 2012 were $359.0 million.
  • Pro forma net revenues for the full year 2012 were $673.3 million, an increase of 34.1% from $502.1 million in 2011.
  • Diluted net income per ADS for the full year 2012 was $0.05.
  • Non-GAAP diluted net income per ADS for the full year 2012 was $0.91.
  • Total full-time regular employees as of December 31, 2012 were 23,270 including 20,834 billable professionals.

[1] Pro forma net revenues of the Company for the fourth quarter and full year 2011 and 2012 assume that the merger occurred at the beginning of each such period. The pro forma financial information is provided for information purpose only and does not purport to present what the actual results of operations would have been had the transaction actually occurred at the beginning of each period indicated nor does it purport to present the actual results of operations for any future period or financial position for any future date. Please refer to the accompanying tables at the end of the earnings release.

 

[2] Non-GAAP gross margin, non-GAAP operating income, non-GAAP net income, non-GAAP basic and diluted net income per ADS and corresponding margins presented in this press release exclude share-based compensation expense, amortization of acquired intangible assets and land use right, merger-related transaction and integration costs, and change in fair value of contingent consideration payable for business acquisition and compensation expenses related to acquisition. The non-GAAP measures and related reconciliations to GAAP measures are described in the accompanying section of "About Non-GAAP Financial Measures" and the accompanying tables of "Reconciliations of Non-GAAP Financial Measures to Comparable GAAP Measures" and "Reconciliations of Forward-Looking Guidance for Non-GAAP Financial Measures to Comparable GAAP Measures" at the end of the news release.

"We are pleased with our results for the fourth quarter and full year 2012. During the quarter, we successfully achieved our revenue target while also making solid progress with our operational integration and business reorganization," said Mr. Tiak Koon Loh, Chief Executive Officer of Pactera. "Pro forma net revenues in 2012 were up 34.1% year over year. Our BFSI business continued its strong growth momentum with a 62.7% year-over-year increase in pro forma net revenues, positioning us to become the leading IT service provider in this vertical in China. Demand in Greater China remains robust, reflected by our 49.7% growth in pro forma net revenues in the region during 2012. 

"Looking forward to 2013, we will remain focused on completing our integration efforts to fully realize the targeted synergies. We will continue to deliver value to our clients and grow our business in a profitable and sustainable manner," added Mr. Loh.

Fourth Quarter 2012 Financial Results

Net Revenues

Net revenues were $142.2 million for the fourth quarter of 2012 as compared to $64.9 million for the fourth quarter of 2011.

Pro forma net revenues of the Company for the fourth quarter of 2012 were $179.3 million, an increase of 17.9% from $152.1 million for the corresponding period in 2011. The year-over-year growth in pro forma net revenues was driven by strong demand of IT services and key geographic markets.

Net Revenues by Service Line

Pactera has two service lines:  Information Technology ("IT") services and research and development ("R&D") services. Pactera divides IT services into two categories: consulting and packaged solution services ("CPS") and application development, testing and maintenance services ("ADM").

Net revenues from IT services were $87.7 million for the fourth quarter of 2012. Net revenues from R&D services were $54.5 million for the fourth quarter of 2012.

Net Revenues by Services Line


Three Months Ended

December 31, 2012

Three Months Ended

December 31, 2011

($ in thousands, except percentages)

IT Services

87,738

61.7%

39,700

61.1%

CPS

31,849

22.4%

13,640

21.0%

ADM

55,889

39.3%

26,060

40.1%

R&D Services

54,464

38.3%

25,236

38.9%

Total Net Revenues

142,202

100.0%

64,936

100.0%

Pro forma net revenues from IT services were $110.4 million for the fourth quarter of 2012, an increase of 33.2% from $82.9 million for the corresponding period in 2011, which is primarily due to our expanded service offerings and client portfolio.

Pro forma net revenues from R&D services were $68.9 million for the fourth quarter of 2012, compared to $69.2 million for the corresponding period in 2011.

Pro forma Net Revenues by Service Line
(Please refer to the reconciliation table at the end of the earnings release.)


Three Months Ended December 31, 2012

Three Months Ended December 31, 2011

Year-over-Year % Change

($ in thousands, except percentages)

IT Services

110,433

61.6%

82,936

54.5%

33.2%

CPS

36,264

20.2%

29,239

19.2%

24.0%

ADM

74,169

41.4%

53,697

35.3%

38.1%

R&D Services

68,911

38.4%

69,188

45.5%

(0.4)%

Total Net Revenues  

179,344

100.0%

152,124

100.0%

17.9%

Net Revenues by Geographic Markets

Based on the location of clients' headquarters, net revenues from clients headquartered in the United States were $55.4 million in the fourth quarter of 2012, followed by $53.8 million from clients headquartered in Greater China, $16.6 million in Japan, $10.3 million in Europe and $6.1 million in Asia South.

Net Revenues based on Location of Clients' Headquarters


Three Months Ended

December 31, 2012

Three Months Ended

December 31, 2011

($ in thousands, except percentages)

United States

55,361

38.9%

30,324

46.7%

Greater China

53,848

37.9%

13,197

20.3%

Japan

16,615

11.7%

13,323

20.5%

Europe

10,262

7.2%

4,851

7.5%

Asia South

6,116

4.3%

3,241

5.0%

Total Net Revenues  

142,202

100.0%

64,936

100.0%

Pro forma net revenues from clients headquartered in Greater China were $72.0 million or 40.1% of pro forma net revenues for the fourth quarter of 2012, followed by 37.5% from the United States, 10.4% from Japan, 7.7% from Europe and 4.3% from Asia South.

Pro Forma Net Revenues based on Location of Clients' Headquarters
(Please refer to the reconciliation table at the end of the earnings release.)


Three Months Ended December 31, 2012

Three Months Ended December 31, 2011

Year-over-Year % Change

($ in thousands, except percentages)

Greater China

71,989

40.1%

53,739

35.3%

34.0%

United States

67,264

37.5%

61,712

40.6%

9.0%

Japan

18,611

10.4%

16,200

10.6%

14.9%

Europe

13,721

7.7%

15,837

10.4%

(13.4)%

Asia South

7,759

4.3%

4,636

3.1%

67.4%

Total Net Revenues  

179,344

100.0%

152,124

100.0%

17.9%

Measuring Pactera's net revenues based on the location of contract signing entity, Greater China accounted for 57.9% of net revenues in the fourth quarter of 2012, while the United States accounted for 20.3%, Japan accounted for 11.1%, Asia South accounted for 9.2% and Europe accounted for 1.5%.

Measuring Pactera's pro forma net revenues based on the location of contract signing entity, Greater China accounted for 59.8% of pro forma net revenues in the fourth quarter of 2012, while the United States accounted for 20.7%, Japan accounted for 9.9%, Asia South accounted for 8.2% and Europe accounted for 1.4%.

Net Revenues by Industry

Pactera classifies its clients into four industry segments: High Technology ("High Tech"), Banking, Financial Services and Insurance ("BFSI"), Telecommunications ("Telecom"), and other industry segments including manufacturing, retail, distribution, travel and transportation and public services ("Others").

Net Revenues by Industry


Three Months Ended

December 31, 2012

Three Months Ended

December 31, 2011

($ in thousands, except percentages)

High Tech

56,463

39.7%

28,941

44.6%

BFSI

39,894

28.1%

18,849

29.0%

Telecom

23,858

16.8%

4,769

7.3%

Others

21,987

15.4%

12,377

19.1%

Total Net Revenues  

142,202

100.0%

64,936

100.0%

Pro Forma Net Revenues by Industry
(Please refer to the reconciliation table at the end of the earnings release.)


Three Months Ended December 31, 2012

Three Months Ended December 31, 2011

Year-over-Year % Change

($ in thousands, except percentages)

High Tech

69,066

38.5%

59,531

39.1%

16.0%

BFSI

47,435

26.4%

32,224

21.2%

47.2%

Telecom

35,174

19.6%

36,699

24.1%

(4.2)%

Others

27,669

15.5%

23,670

15.6%

16.9%

Total net revenues   

179,344

100%

152,124

100.0%

17.9%

Largest Clients

Net revenues from Pactera's top five and top ten clients accounted for 30.7% and 39.6% of net revenues, respectively, during the fourth quarter of 2012, compared to 31.6% and 45.2%, respectively, for the corresponding period in 2011.

Pro forma net revenues from Pactera's top five and top ten clients accounted for 32.2% and 41.2% of pro forma net revenues, respectively, during the fourth quarter of 2012, compared to 39.0% and 48.6%, respectively, for the corresponding period in 2011.

Gross Profit and Gross Margin

Gross profit was $47.6 million for the fourth quarter of 2012, compared to $23.5 million for the corresponding period in 2011. During the fourth quarter of 2012, gross margin was 33.5%, as compared to 36.2% for the fourth quarter of 2011.

Operating Expenses

Total operating expenses were $65.2 million for the fourth quarter of 2012 compared to $16.8 million for the corresponding period in 2011. Operating expenses in the fourth quarter of 2012 reflect $5.5 million in trademark intangible asset write-down due to the corporate re-branding and $19.8 million in other merger related expenses including professional fees, severance costs, and facilities and system integration expenses.

Operating Income and Operating Margin

Operating loss for the fourth quarter of 2012 was $17.5 million, compared to an operating income of $6.7 million for the corresponding period in 2011. Non-GAAP operating income for the fourth quarter in 2012 was $15.3 million, as compared to $9.7 million in the corresponding period in 2011.

Operating margin was negative 12.3% for the fourth quarter of 2012, compared to 10.3% for the same period in 2011. Non-GAAP operating margin was 10.8% for the fourth quarter of 2012, compared to 14.9% for the corresponding period in 2011.

Net Income and Net Income per ADS

Net loss attributable to Pactera was $14.5 million for the fourth quarter of 2012, compared to a net income of $6.8 million for the corresponding period in 2011. Diluted net loss per ADS was $0.22 for the fourth quarter of 2012, as compared to diluted net income per ADS of $0.16 in the corresponding period of 2011.

Non-GAAP net income was $16.4 million for the fourth quarter of 2012, compared to $9.8 million for the same period in 2011. Non-GAAP diluted net income per ADS was $0.24 in the fourth quarter of 2012, compared to $0.23 in the corresponding period of 2011.

Cash Flow and DSO

As of December 31, 2012, Pactera had cash and cash equivalents, restricted cash, term deposits and short-term investment totaling $210.1 million. Operating cash flow for the fourth quarter of 2012 was a net inflow of approximately $33.3 million. Days sales outstanding ("DSO") was 119 days for the quarter.

Full Year 2012 Financial Results

Net Revenues

Net revenues were $359.0 million for the full year 2012 as compared to $219.0 million for the full year 2011.

Pro forma net revenues of the Company for the full year 2012 were $673.3 million, an increase of 34.1% from $502.1 million for the corresponding period in 2011.

Net Revenues by Service Line

Net revenues from IT services were $214.9 million for the full year 2012. Net revenues from R&D services were $144.2 million for the full year 2012.

Net Revenues by Services Line


Twelve Months Ended
December 31, 2012

Twelve Months Ended
December 31, 2011

($ in thousands, except percentages)

IT Services

214,858

59.8%

126,105

57.6%

CPS

79,605

22.1%

37,567

17.2%

ADM

135,253

37.7%

88,538

40.4%

R&D Services

144,173

40.2%

92,884

42.4%

Total Net Revenues   

359,031

100.0%

218,989

100.0%

Pro forma net revenues from IT services were $381.5 million for the full year 2012, an increase of 46.3% from $260.7 million in 2011. Pro forma net revenues from R&D services were $291.8 million for the full year 2012, compared to $241.4 million in 2011.

Pro forma Net Revenues by Service Line
(Please refer to the reconciliation table at the end of the earnings release)


Twelve Months Ended
December 31, 2012

Twelve Months Ended
December 31, 2011

Year-over-Year % Change

($ in thousands, except percentages)

IT Services

381,476

56.7%

260,680

51.9%

46.3%

CPS

118,209

17.6%

85,351

17.0%

38.5%

ADM

263,267

39.1%

175,329

34.9%

50.2%

R&D Services

291,790

43.3%

241,446

48.1%

20.9%

Total Net Revenues   

673,266

100.0%

502,126

100.0%

34.1%

Net Revenues by Geographic Markets

Based on the location of clients' headquarters, net revenues from clients headquartered in the United States were $155.0 million in the full year 2012, followed by $104.2 million from clients headquartered in Greater China, $58.0 million in Japan, $24.4 million in Europe and $17.5 million in Asia South.

Net Revenues based on Location of Clients' Headquarters


Twelve Months Ended
December 31, 2012

Twelve Months Ended
December 31, 2011

($ in thousands, except percentages)

United States

154,969

43.2%

107,925

49.3%

Greater China

104,222

29.0%

39,410

18.0%

Japan

58,010

16.2%

40,724

18.6%

Europe

24,375

6.8%

18,793

8.6%

Asia South

17,455

4.8%

12,137

5.5%

Total Net Revenues   

359,031

100.0%

218,989

100.0%

Pro forma net revenues from clients headquartered in the United States were $261.1 million or 38.8% of pro forma net revenues for the full year 2012, followed by 38.2% from Greater China, 10.7% from Japan, 8.4% from Europe and 3.9% from Asia South.

Pro Forma Net Revenues based on Location of Clients' Headquarters
(Please refer to the reconciliation table at the end of the earnings release)


Twelve Months Ended
December 31, 2012

Twelve Months Ended
December 31, 2011

Year-over-Year % Change

($ in thousands, except percentages)

United States

261,070

38.8%

203,242

40.5%

28.5%

Greater China

257,481

38.2%

172,052

34.3%

49.7%

Japan

72,050

10.7%

50,167

10.0%

43.6%

Europe

56,728

8.4%

61,231

12.2%

(7.4)%

Asia South

25,937

3.9%

15,434

3.0%

68.1%

Total Net Revenues   

673,266

100.0%

502,126

100.0%

34.1%

Measuring Pactera's net revenues based on the location of contract signing entity, Greater China accounted for 48.0% of net revenues in thefull year 2012, while the United States accounted for 21.0%, Japan accounted for 16.7%, Asia South accounted for 12.6% and Europe accounted for 1.7%.

Measuring Pactera's pro forma net revenues based on the location of contract signing entity, Greater China accounted for 57.1% of pro forma net revenues in the full year 2012, while the United States accounted for 22.8%, Japan accounted for 10.3%, Asia South accounted for 8.2% and Europe accounted for 1.6%.

Net Revenues by Industry

Net Revenues by Industry


Twelve Months Ended

December 31, 2012

Twelve Months Ended

December 31, 2011

($ in thousands, except percentages)

High Tech

153,099

42.6%

105,447

48.2%

BFSI

102,328

28.5%

60,893

27.8%

Telecom

41,366

11.5%

14,653

6.7%

Others

62,238

17.4%

37,996

17.3%

Total Net Revenues   

359,031

100.0%

218,989

100.0%

Pro Forma Net Revenues by Industry
(Please refer to the reconciliation table at the end of the earnings release)


Twelve Months Ended December 31, 2012

Twelve Months Ended December 31, 2011

Year-over-Year % Change

($ in thousands, except percentages)

High Tech

259,517

38.5%

200,837

40.0%

29.2%

BFSI

157,592

23.4%

96,886

19.3%

62.7%

Telecom

151,996

22.6%

127,436

25.4%

19.3%

Others

104,161

15.5%

76,967

15.3%

35.3%

Total net revenues   

673,266

100.0%

502,126

100.0%

34.1%

Largest Clients

Net revenues from Pactera's top five and top ten clients accounted for 31.0% and 41.7% of net revenues, respectively, during the full year 2012, compared to 34.8% and 50.1%, respectively, in 2011.

Pro forma net revenues from Pactera's top five and top ten clients accounted for 36.1% and 45.5% of pro forma net revenues, respectively, during the full year 2012, compared to 40.0% and 50.6%, respectively, in 2011.

Gross Profit and Gross Margin

Gross profit was $124.4 million for the full year 2012, compared to $76.6 million in 2011. During the full year 2012, gross margin was 34.7%, as compared to 35.0% for the full year 2011.

Operating Expenses

Total operating expenses were $123.5million for the full year 2012 compared to $59.4 million in 2011. Operating expenses in the full year 2012 reflect $5.5 million in trademark intangible asset write-down due to the corporate re-branding as a result of the merger and $22.2 million in other merger related expenses including professional fees, severance costs, and facilities and system integration expenses.

Operating Income and Operating Margin

Operating income for the full year 2012 was $0.9 million, compared to an operating income of $17.2 million in 2011. Non-GAAP operating income for the full year 2012 was $45.4 million, as compared to $27.8 million in 2011.

Operating margin was 0.3% for the full year 2012, compared to 7.9% in 2011. Non-GAAP operating margin was 12.6% for the full year 2012, compared to 12.7% in 2011.

Provision for Income Taxes

Provision for income taxes was $1.2 million for the full year 2012, compared to $1.7 million in 2011. The effective income tax rate was 26.8%. Excluding non-deductible merger related transaction costs for Cayman Island tax purposes, the effective tax rate would have been 13.0% for the year.

Net Income and Net Income per ADS

Net income attributable to Pactera was $2.6 million for the full year 2012, compared to $17.9 million for 2011. Diluted net income per ADS was $0.05 for the full year 2012, as compared to diluted net income per ADS of $0.42 for 2011.

Non-GAAP net income was $45.0 million for the full year 2012, compared to $28.5 million for 2011. Non-GAAP diluted net income per ADS was $0.91 for the full year 2012, compared to $0.66 for 2011.

Cash Flow

Operating cash flow for the full year 2012 was a net inflow of approximately $36.3 million.

Recent Development

Share Repurchase Program

On December 21, 2012, the Company announced that the Board of Directors approved a share repurchase program, under which Pactera had been authorized, but is not obligated, to repurchase up to $30 million worth of outstanding American Depositary Shares (the "ADSs") representing the common shares of Pactera from time to time over the next 12 months. As of February 26, 2013, 348,535 ADS had been repurchased through open market transactions.

Potential Business Transfer Relating to Our Large Telecom Customer

As previously disclosed, one of the Company's major clients formed two joint ventures specializing in the software outsourcing business with the Company's competitors.  The customer is now shifting some of its outsourcing business from various vendors to these joint ventures.  Recently in 2013, this customer informed the Company of its plan to move some business from the Company to these joint ventures, and the Company intends to fully cooperate in this process.  The details are still being discussed between the parties, which may include orderly transfer of certain project teams to the joint ventures in the first half of 2013.  In 2012, Pactera and, prior to the completion of the merger, HiSoft and VanceInfo, generated approximately $96 million of net revenues from this customer, which was the largest customer as measured by net revenues.  The Company now expects net revenues from this customer to decline by at least 40% in 2013.

Outlook for Pactera's First Quarter and Full Year 2013

For the first quarter of 2013, based on current market and operating conditions and current book orders, Pactera expects:

  • Net revenues to be at least US$158.0 million, compared to $151.6 million in the first quarter 2012 on a pro forma basis. Excluding the revenues from our large telecom customer in both periods, this represents an increase of at least 10% from the first quarter 2012. Please refer to Recent Development section of this release for further discussion.
  • Non-GAAP diluted net income per ADS to be at least $0.12, estimated based on 88.3 million weighted average equivalent ADSs outstanding.

For the full year 2013, based on current market and operating conditions, Pactera expects:

  • Excluding the revenues from our large telecom customer for both 2012 and 2013, net revenues to be at least US$675 million, representing an increase of at least 17% from the 2012 pro forma revenues of $577 million. Based on our current visibility, we estimate net revenues with our large telecom customer to be approximately $48 million to $58 million, which would result in a total net revenue for the Company to be between $723 million and $733 million in 2013, compared to $673 million in 2012 on a pro forma basis. Please refer to Recent Development section of this release for further discussion.
  • Non-GAAP diluted net income per ADS to be in the range of $0.75 to $0.80, estimated based on 89.5 million weighted average equivalent ADSs outstanding.

These estimates are based on current market and operating conditions, are subject to change, and may be influenced positively or negatively by factors outside the Company's control, including but not limited to macroeconomic events in the markets in which the Company operates. See "Safe Harbor Statement" below for additional information regarding forward-looking statements.

Conference Call

The Company will host a corresponding conference call and live webcast to discuss the results at 7:00 AM Eastern Standard Time (EST) on Wednesday, February 27, 2013 (8:00 PM Beijing/Hong Kong time). Please dial-in five minutes prior to the call to register and receive further instruction.

The dial-in details for the live conference call are as below:

- U.S. Toll Free Dial-in Number: + 1.855.500.8701
- International Dial-in Number: + 65.6723.9385
- Hong Kong Dial-in Number: + 852.3051.2745
Passcode: 96031141

The conference call will be available live via webcast on the Investors section of Pactera's website at http://ir.pactera.com. The archive replay will be available on Pactera's website shortly after the call.

A dial-in replay of the conference call will be available until March 6, 2013:
- U.S. Toll Free Dial-in Number: + 1.855.452.5696
- International Dial-in Number: + 61.2.8199.0299
Passcode: 96031141

About Pactera

Pactera Technology International Ltd. (NASDAQ: PACT), formed by a merger of equals between HiSoft Technology International Limited and VanceInfo Technologies Inc., is a global consulting and technology services provider strategically headquartered in China. Pactera provides world-class business / IT consulting, solutions, and outsourcing services to a wide range of leading multinational firms through a globally integrated network of onsite and offsite delivery locations in China, the United States, Europe, Australia, Japan, Singapore and Malaysia. Pactera's comprehensive services include business and technology advisory, enterprise application services, business intelligence, application development & maintenance, mobility, cloud computing, infrastructure management, software product engineering & globalization, and business process outsourcing.

For more information about Pactera, please visit www.pactera.com.

Safe Harbor Statement

This news release contains forward-looking statements. These statements constitute "forward-looking" statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "target," "going forward," "outlook" and similar statements. Such statements are based upon management's current expectations and current market and operating conditions, and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond Pactera's control, which may cause Pactera's actual results, performance or achievements to differ materially from those in the forward-looking statements. Potential risks and uncertainties include, but are not limited to, the Company's dependence on a limited number of clients for a significant portion of its revenues, uncertainty relating to its clients' forming or plan to form joint venture with the Company's competitors, the economic slowdown in its principal geographic markets, the quality and portfolio of its service lines and industry expertise, and the availability of a large talent pool in China and inflation of qualified professionals' wages, as well as the PRC government's investment in infrastructure construction and adoption of various incentives in the IT service industry. Further information regarding these and other risks, uncertainties or factors is included in Pactera's filings with the U.S. Securities and Exchange Commission. All information provided in this news release is as of the date of this news release, and Pactera does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under applicable law. 

About Non-GAAP Financial Measures

To supplement Pactera's consolidated financial results presented in accordance with GAAP, Pactera uses the following measures defined as non-GAAP financial measures by the SEC: non-GAAP income from operations, non-GAAP net income and non-GAAP diluted EPS and related margins which exclude share-based compensation expense, amortization of acquired intangible assets and land use right, merger-related costs, change in fair value of contingent consideration payable for business acquisition, and compensation expenses related to acquisition. The non-GAAP income from operations, net income and diluted EPS for prior periods have been reclassified so that the presentations are consistent. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for or superior to the financial information prepared and presented in accordance with GAAP or as being comparable to results reported or forecasted by other companies. For more information on these non-GAAP financial measures, please see the tables captioned "Reconciliations of non-GAAP Financial Measures to Comparable GAAP Measures" and "Reconciliations of Forward-Looking Guidance for non-GAAP Financial Measures to Comparable GAAP Measures" set forth at the end of this news release.

Pactera believes that these non-GAAP financial measures provide meaningful supplemental information regarding its performance by excluding certain expenses and expenditures that may not be indicative of its operating performance. The Company believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing the Company's performance and when planning and forecasting future periods. A limitation of using non-GAAP net income and non-GAAP diluted EPS is that these non-GAAP measures exclude the share-based compensation charges, amortization of acquired intangible assets and land use right, merger-related transaction and integration costs, and change in fair value of contingent consideration payable for business acquisition that have been and will continue to be, for the foreseeable future, a significant recurring expense in the business. Management compensates for these limitations by providing specific information regarding the GAAP amounts excluded from each non-GAAP measure. The accompanying tables have more details on the reconciliations between GAAP financial measures that are comparable to non-GAAP financial measures. The reconciliations of the forward-looking guidance for non-GAAP financial measures to the most directly comparable GAAP financial measures in the accompanying table include all information reasonably available to Pactera at the date of this news release.










PACTERA TECHNOLOGY INTERNATIONAL LIMITED




Condensed Consolidated Balance Sheets (Unaudited)




(US dollars in thousands, except share data)














December 31, 2012


December 31, 2011












ASSETS








Current Assets








Cash and cash equivalents


143,714


113,856




Restricted cash


6,112


1,222




Term deposits


58,485


21,681




Short-term investment


1,765


-




Accounts receivable, net


230,693


61,413




Other current assets


37,435


7,135




Total current assets


478,204


205,307












Property, plant and equipment, net


67,607


13,774




Goodwill and intangible assets, net


157,962


52,546




Other long-term assets


33,833


1,552




Total assets


737,606


273,179












LIABILITIES AND STOCKHOLDERS' EQUITY






Current liabilities


163,152


51,029




Other liabilities


32,130


12,260




Total liabilities


195,282


63,289




Total shareholder's equity


542,324


209,890




Total liabilities and equity


737,606


273,179






-


-






-


-












Note:








 As of December 31,2012, there were 88,312,068 ordinary shares (88,312,068 ADSs) issued and outstanding.




 As of December 31,2011, there were 42,720,067 ordinary shares (42,720,067 ADSs) issued and outstanding,












Effective on November 9, 2012, the Company adjusted the ratio of its ADSs to ordinary shares that
effectively resulted in a 1:1.3622 split for its ADSs. All number of shares and earnings per ADS figures in this
announcement give effect to the forgoing ADS to share ratio change.





























 

PACTERA TECHNOLOGY INTERNATIONAL LIMITED




Condensed Consolidated Statements of Operations (Unaudited)




(US dollars in thousands, except for share, per share data)
















Three months ended December 31,


Year ended December 31,





2012


2011


2012


2011















Net revenues

142,202


64,936


359,031


218,989




Cost of revenues

(94,589)


(41,402)


(234,602)


(142,427)




Gross profit

47,613


23,534


124,429


76,562




Operating expenses

(65,152)


(16,832)


(123,514)


(59,351)




(Loss) Income from operations

(17,539)


6,702


915


17,211




 Other income

709


832


3,597


2,905




Net (loss) income before income tax expenses

(16,830)


7,534


4,512


20,116















 Income tax benefit (expenses)

2,359


(459)


(1,210)


(1,718)




(Loss) income before earning in equity method investment

(14,471)


7,075


3,302


18,398















Earning in equity method investment

23


-


23


-




(Loss) income after earning in equity method investment

(14,448)


7,075


3,325


18,398















Add: Net profit attributable to noncontrolling interest

(69)


(278)


(735)


(497)




Net (loss) income attributable to PacteraTechnology International Limited











(14,517)


6,797


2,590


17,901















Net (loss) income per share











Basic

(0.22)


0.17


0.05


0.44




Diluted

(0.22)


0.16


0.05


0.42















Weighted average shares used in calculating net income per common share











Basic

66,234,854


41,021,197


47,547,307


40,596,429




Diluted

66,234,854


42,946,070


49,444,160


42,956,291















Net (loss) income per ADS











Basic

(0.22)


0.17


0.05


0.44




Diluted

(0.22)


0.16


0.05


0.42















Weighted average ADS used in calculating net
income per ADS











Basic

66,234,854


41,021,197


47,547,307


40,596,429




Diluted

66,234,854


42,946,070


49,444,160


42,956,291















Effective on November 9, 2012, the Company adjusted the ratio of its ADSs to ordinary shares that effectively resulted in a 1:1.3622 split for its
ADSs. All number of shares and earnings per ADS figures in this announcement give effect to the forgoing ADS to share ratio change.

































 

 















PACTERA TECHNOLOGY INTERNATIONAL LIMITED





Condensed Consolidated Statements of Comprehensive Income (Unaudited)





(US dollars in thousands, except for share, per share data)


















Three months ended December 31,


Year ended December 31,






2012


2011


2012


2011
















Net (loss) income

(14,448)


7,075


3,325


18,398




Other comprehensive income, net of tax:












Change in cumulative foreign exchange translation adjustment

946


1,862


2,460


5,738




Comprehensive (loss) income                               

(13,502)


8,937


5,785


24,136
















Less: Comprehensive income attributable to noncontrolling interest











(69)


(295)


(742)


(547)




Comprehensive income attributable to Pactera
Technology International Limited











(13,571)


8,642


5,043


23,589















 

 













PACTERA TECHNOLOGY INTERNATIONAL LIMITED

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(in U.S. dollars in thousands)

















Three months ended December 31,


Year ended December 31,




2012


2011


2012


2011



Cash flows from operating activities:











Net (loss) income

(14,448)


7,075


3,325


18,398




Adjustments to reconcile net income to net cash (used in) provided by operating activities:









(Reversal) Provision for doubtful accounts

4,851


(163)


4,821


477





(Gain) loss on disposal of property, plant and equipment

155


(1)


103


37





Depreciation

2,709


1,317


6,850


4,400





Change in fair value of foreign-currency forward contract

43


(67)


20


(28)





Amortization of intangible assets

2,295


1,044


6,058


2,677





Amortization of land use right

71


-


71


-





Impairment of Intangible Asssets

5,515


-


5,515


-





Non-cash interest income

-


-


-


(34)





Share-based compensation expenses

5,841


1,559


11,064


5,656





Changes in fair value of contingent consideration

(776)


384


(659)


1,824





Earnings in investment

(23)


-


(23)


-




Changes in operating assets and liabilities:












Accounts receivable

10,523


627


(11,946)


(12,405)





Other current assets

757


1,416


(1,374)


(2,565)





Other assets

237


(66)


(697)


2,170





Accounts payable

(938)


1,981


(3,459)


216





Other liabilities

16,478


803


16,656


3,500















Net cash provided by operating activities

33,290


15,909


36,325


24,323















Cash flows from investing activities:











Term deposits

(7,232)


10,675


(1,908)


(21,681)




Sort-term investment

(1,764)


-


(1,764)


-




Purchase of property, plant and equipment

(2,219)


(1,785)


(5,600)


(7,691)




Purchase of buliding and land use right

(9,126)


-


(15,633)


-




Restricted cash

(2,234)


(54)


(3,022)


(836)




Cash received from merger with VanceInfo

31,717


-


31,717


-




Deferred and contingent consideration paid for business acquisitions

(2,321)


(2,109)


(9,554)


(7,716)




Payment on success fee related to business acquisition

-


-


-


(450)



Net cash provided by (used in) investing activities

6,821


6,727


(5,764)


(38,374)















Cash flows from financing activities:











Repayment of bank loan

(1)


-


(477)


(40,000)




Cash received from non-controlling

-


-


-


909




Proceeds from issuance of common share
under employee option plan

589


634


1,988


5,291




Deferred and contingent consideration paid for business acquisitions

-


(2,150)


(3,047)


(11,710)




Payment of principal amount under capital lease obligations

-


-


-


(136)



Net cash provided by (used in)  financing activities

588


(1,516)


(1,536)


(45,646)















Effect of exchange rate changes

528


1,063


833


3,660















Net increase (decrease) in cash and cash equivalents

41,227


22,183


29,858


(56,037)



Cash and cash equivalents at beginning of period

102,487


91,673


113,856


169,893















Cash and cash equivalents at end of period

143,714


113,856


143,714


113,856














 

 














PACTERA TECHNOLOGY INTERNATIONAL LIMITED




Reconciliations of Non-GAAP Financial Measures to Comparable GAAP Measures




(US dollars in thousands, except per share data and percentages)









































Three months ended December 31,


Year ended December 31,





2012


2011



2012


2011
















GAAP operating (loss) income

(17,539)


6,702



915


17,211




GAAP operating (loss) margin

-12.3%


10.3%



0.3%


7.9%
















Adjustments:












 - Share-based compensation

5,841


1,559



11,064


5,656




 - Amortization of acquired intangible assets

2,295


1,044



6,058


2,677




 - Write-down of trademarks due to re-branding

5,515


-



5,515


-




 - Change in fair value of contingent consideration payable for M&A

(776)


384



(659)


1,824




 - Success fee related to business acquisition

-


-



-


450




 - Compensation expenses
related to acquisition

87


-



174


-




 - Merger related costs

19,827


-



22,215


-




 - Land use right amortization expense

71


-



71


-
















Non-GAAP operating income

15,321


9,689



45,353


27,818




Non-GAAP operating margin

10.8%


14.9%



12.6%


12.7%




























GAAP net (loss) income

(14,517)


6,797



2,590


17,901




GAAP net (loss) margin

-10.2%


10.5%



0.7%


8.2%
















Adjustments:












 - Share-based compensation

5,841


1,559



11,064


5,656




 - Write-down of trademarks due to re-branding

2,295


1,044



6,058


2,677




 - Write down of intangible assets

5,515


-



5,515


-




 - Change in fair value of contingent consideration payable for M&A

(776)


384



(659)


1,824




 - Success fee related to business acquisition

-


-



-


450




 - Compensation expenses
 related to acquisition

87


-



174


-




 - Merger related costs, net of tax effect

17,837


-



20,225


-




 - Land use right amortization expense

71


-



71


-
















Non-GAAP net income

16,353


9,784



45,038


28,508




Non-GAAP net margin

11.5%


15.1%



12.5%


13.0%




























Non-GAAP net income per ADS












Basic

0.25


0.24



0.95


0.70




Diluted

0.24


0.23



0.91


0.66
















Weighted average ADS used in calculating Non-GAAP net income per ADS












Basic

66,234,854


41,021,197



47,547,307


40,596,429




Diluted

68,514,064


42,946,070



49,444,160


42,956,291
















GAAP net (loss) income per ADS












Basic

(0.22)


0.17



0.05


0.44




Adjustments:












 - Share-based compensation

0.09


0.04



0.23


0.14




 - Amortization of acquired intangible assets

0.04


0.02



0.13


0.07




 - Write-down of trademarks due to re-branding

0.08


-



0.12


-




 - Change in fair value of contingent consideration payable for M&A

(0.01)


0.01



(0.01)


0.04




 - Success fee related to business acquisition

-


-



-


0.01




 - Compensation expenses
related to acquisition

-


-



-


-




 - Merger related costs, net of tax effect

0.27


-



0.43


-




 - Land use right

-


-



-


-




Non-GAAP net income per ADS












Basic

0.25


0.24



0.95


0.70




























GAAP net (loss) income per ADS












Diluted

(0.22)


0.16



0.05


0.42




Adjustments:












 - Share-based compensation

0.09


0.04



0.22


0.13




 - Amortization of acquired intangible assets

0.03


0.02



0.13


0.06




 - Write-down of trademarks due to re-branding

0.08


-



0.11


-




 - Change in fair value of contingent consideration payable for M&A

(0.01)


0.01



(0.01)


0.04




 - Success fee related to business acquisition

-


-



-


0.01




 - Compensation expenses
 related to acquisition

-


-



-


-




 - Merger related costs, net of tax effect

0.27


-



0.41


-




 - Land use right

-


-



-


-




Non-GAAP net income per ADS












Diluted

0.24


0.23



0.91


0.66
















 

Effective on November 9, 2012, the Company adjusted the ratio of its ADSs to ordinary shares that effectively resulted in a 1:1.3622 split for its ADSs. All number of shares and earnings per ADS figures in this announcement give effect to the forgoing ADS to share ratio change.

 



 

 




Unaudited historical consolidated net revenues of Pactera for the three months ended December 31, 2012

Unaudited historical consolidated net revenues of  VanceInfo for the period from October 1, 2012 to November 8,
2012

Unaudited Pro forma consolidated net revenues for the three months ended December 31, 2012

Unaudited historical consolidated net revenues of the former HiSoft  for the three months ended December 31, 2011

Unaudited historical consolidated net revenues of VanceInfo  for the three months ended December 31, 2011

Unaudited Pro forma consolidated net revenues for the three months ended December 31, 2011













Proforma  Net Revenue by Service Lines










IT Services


87,738

22,695

110,433

39,700

43,236

82,936



 - CPS


31,849

4,415

36,264

13,640

15,599

29,239



 - ADM


55,889

18,280

74,169

26,060

27,637

53,697



R&D Services


54,464

14,447

68,911

25,236

43,952

69,188



Total


142,202

37,142

179,344

64,936

87,188

152,124













Proforma  Net Revenue by Industry










High Tech


56,463

12,603

69,066

28,941

30,590

59,531



BFSI


39,894

7,541

47,435

18,849

13,375

32,224



Telecom


23,858

11,316

35,174

4,769

31,930

36,699



Others


21,987

5,682

27,669

12,377

11,293

23,670



Total


142,202

37,142

179,344

64,936

87,188

152,124













Proforma  Net Revenue by Location of Client's Headquarter








United States


55,361

11,903

67,264

30,324

31,388

61,712



Europe


10,262

3,459

13,721

4,851

10,986

15,837



Japan


16,615

1,996

18,611

13,323

2,877

16,200



Greater China


53,848

18,141

71,989

13,197

40,542

53,739



Asia South


6,116

1,643

7,759

3,241

1,395

4,636



Total


142,202

37,142

179,344

64,936

87,188

152,124













Note:










The accompanying unaudited pro forma net revenues for the three months ended December 31, 2012 and 2011 and the year ended December 31, 2012 and 2011 is prepared based on the assumption that the merger of HiSoft and VanceInfo was consummated on January 1, 2011.  No adjustment has been made to unaudited historical consolidated net revenues to give effect to such pro forma event.  The unaudited pro forma net revenues are being provided for information purposes only as Pactera believes that such data provide meaningful supplemental information for investors to compare the performance of Pactera with the pre-merger HiSoft and VanceInfo for the corresponding periods.  Such data do not purport to represent what the actual consolidated results of operations or the consolidated balance sheet of the combined company would have been had the merger occurred on the dates assumed, nor are they necessarily indicative of the combined company's future consolidated results of operations.

For the pro forma net revenues for the three months ended December 31, 2012, it combined the unaudited historical consolidated net revenues of Pactera for the three months ended December 31, 2012 and the unaudited historical consolidated net revenues of VanceInfo for the period from October 1, 2012 to November 8, 2012 (period prior to the consummation of the merger).   The unaudited historical consolidated net revenues of Pactera for the three months ended December 31, 2012 combine the unaudited historical consolidated net revenues of the former HiSoft for the three months ended December 31, 2012 and the unaudited historical consolidated net revenues of VanceInfo for the period from November 9, 2012 to December 31, 2012.


 

 




Unaudited historical consolidated net revenues of Pactera for the year December 31, 2012

Unaudited historical consolidated net revenues of  VanceInfo for the period from January 1, 2012 to November 8,
2012

Unaudited Pro forma consolidated net revenues for the year ended December 31, 2012

Unaudited historical consolidated net revenues of the former HiSoft for the year ended December 31, 2011

Unaudited historical consolidated net revenues of  VanceInfo for the year ended December 31, 2011

Unaudited Pro forma consolidated net revenues for the year ended December 31, 2011













Proforma  Net Revenue by Service Lines










IT Services


214,858

166,618

381,476

126,105

134,575

260,680



 - CPS


79,605

38,604

118,209

37,567

47,784

85,351



 - ADM


135,253

128,014

263,267

88,538

86,791

175,329



R&D Services


144,173

147,617

291,790

92,884

148,562

241,446



Total


359,031

314,235

673,266

218,989

283,137

502,126













Proforma  Net Revenue by Industry










High Tech


153,099

106,418

259,517

105,447

95,390

200,837



BFSI


102,328

55,264

157,592

60,893

35,993

96,886



Telecom


41,366

110,630

151,996

14,653

112,783

127,436



Others


62,238

41,923

104,161

37,996

38,971

76,967



Total


359,031

314,235

673,266

218,989

283,137

502,126













Proforma  Net Revenue by Location of Client's Headquarter








United States


154,969

106,101

261,070

107,925

95,317

203,242



Europe


24,375

32,353

56,728

18,793

42,438

61,231



Japan


58,010

14,040

72,050

40,724

9,443

50,167



Greater China


104,222

153,259

257,481

39,410

132,642

172,052



Asia South


17,455

8,482

25,937

12,137

3,297

15,434



Total


359,031

314,235

673,266

218,989

283,137

502,126













Note:










The accompanying unaudited pro forma net revenues for the three months ended December 31, 2012 and 2011 and the year ended December 31, 2012 and 2011 is prepared based on the assumption that the merger of HiSoft and VanceInfo was consummated on January 1, 2011.  No adjustment has been made to unaudited historical consolidated net revenues to give effect to such pro forma event.  The unaudited pro forma net revenues are being provided for information purposes only as Pactera believes that such data provide meaningful supplemental information for investors to compare the performance of Pactera with the pre-merger HiSoft and VanceInfo for the corresponding periods.  Such data do not purport to represent what the actual consolidated results of operations or the consolidated balance sheet of the combined company would have been had the merger occurred on the dates assumed, nor are they necessarily indicative of the combined company's future consolidated results of operations.
 
For the pro forma net revenues for the three months ended December 31, 2012, it combined the unaudited historical consolidated net revenues of Pactera for the three months ended December 31, 2012 and the unaudited historical consolidated net revenues of VanceInfo for the period from October 1, 2012 to November 8, 2012 (period prior to the consummation of the merger).   The unaudited historical consolidated net revenues of Pactera for the three months ended December 31, 2012 combine the unaudited historical consolidated net revenues of the former HiSoft for the three months ended December 31, 2012 and the unaudited historical consolidated net revenues of VanceInfo for the period from November 9, 2012 to December 31, 2012.


















 

For further information, please contact:

Sheryl Zhang
Investor Relations
Pactera Technology International Ltd.
Tel: +86-10-8282-5330
E-mail: [email protected]



SOURCE Pactera Technology International Ltd.

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SYS-CON Events announced today that Utimaco will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Utimaco is a leading manufacturer of hardware based security solutions that provide the root of trust to keep cryptographic keys safe, secure critical digital infrastructures and protect high value data assets. Only Utimaco delivers a general-purpose hardware security module (HSM) as a customizable platform to easily integrate into existing software solutions, embed business logic and build s...
How do APIs and IoT relate? The answer is not as simple as merely adding an API on top of a dumb device, but rather about understanding the architectural patterns for implementing an IoT fabric. There are typically two or three trends: Exposing the device to a management framework Exposing that management framework to a business centric logic • Exposing that business layer and data to end users. This last trend is the IoT stack, which involves a new shift in the separation of what stuff happens, where data lives and where the interface lies. For instance, it’s a mix of architectural style...
Connected devices are changing the way we go about our everyday life, from wearables to driverless cars, to smart grids and entire industries revolutionizing business opportunities through smart objects, capable of two-way communication. But what happens when objects are given an IP-address, and we rely on that connection, sometimes with our lives? How do we secure those vast data infrastructures and safe-keep the privacy of sensitive information? This session will outline how each and every connected device can uphold a core root of trust via a unique cryptographic signature – a “bir...
Internet of @ThingsExpo Silicon Valley announced on Thursday its first 12 all-star speakers and sessions for its upcoming event, which will take place November 4-6, 2014, at the Santa Clara Convention Center in California. @ThingsExpo, the first and largest IoT event in the world, debuted at the Javits Center in New York City in June 10-12, 2014 with over 6,000 delegates attending the conference. Among the first 12 announced world class speakers, IBM will present two highly popular IoT sessions, which will take place November 4-6, 2014 at the Santa Clara Convention Center in Santa Clara, Calif...
SYS-CON Events announced today that Matrix.org has been named “Silver Sponsor” of Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Matrix is an ambitious new open standard for open, distributed, real-time communication over IP. It defines a new approach for interoperable Instant Messaging and VoIP based on pragmatic HTTP APIs and WebRTC, and provides open source reference implementations to showcase and bootstrap the new standard. Our focus is on simplicity, security, and supporting the fullest feature set.
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at Internet of @ThingsExpo, Robin Raymond, Chief Architect at Hookflash Inc., will walk through the shifting landscape of traditional telephone a...
WebRTC defines no default signaling protocol, causing fragmentation between WebRTC silos. SIP and XMPP provide possibilities, but come with considerable complexity and are not designed for use in a web environment. In his session at Internet of @ThingsExpo, Matthew Hodgson, technical co-founder of the Matrix.org, will discuss how Matrix is a new non-profit Open Source Project that defines both a new HTTP-based standard for VoIP & IM signaling and provides reference implementations.

SUNNYVALE, Calif., Oct. 20, 2014 /PRNewswire/ -- Spansion Inc. (NYSE: CODE), a global leader in embedded systems, today added 96 new products to the Spansion® FM4 Family of flexible microcontrollers (MCUs). Based on the ARM® Cortex®-M4F core, the new MCUs boast a 200 MHz operating frequency and support a diverse set of on-chip peripherals for enhanced human machine interfaces (HMIs) and machine-to-machine (M2M) communications. The rich set of periphera...

SYS-CON Events announced today that Aria Systems, the recurring revenue expert, has been named "Bronze Sponsor" of SYS-CON's 15th International Cloud Expo®, which will take place on November 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Aria Systems helps leading businesses connect their customers with the products and services they love. Industry leaders like Pitney Bowes, Experian, AAA NCNU, VMware, HootSuite and many others choose Aria to power their recurring revenue business and deliver exceptional experiences to their customers.
The Internet of Things (IoT) is going to require a new way of thinking and of developing software for speed, security and innovation. This requires IT leaders to balance business as usual while anticipating for the next market and technology trends. Cloud provides the right IT asset portfolio to help today’s IT leaders manage the old and prepare for the new. Today the cloud conversation is evolving from private and public to hybrid. This session will provide use cases and insights to reinforce the value of the network in helping organizations to maximize their company’s cloud experience.
The Internet of Things (IoT) is making everything it touches smarter – smart devices, smart cars and smart cities. And lucky us, we’re just beginning to reap the benefits as we work toward a networked society. However, this technology-driven innovation is impacting more than just individuals. The IoT has an environmental impact as well, which brings us to the theme of this month’s #IoTuesday Twitter chat. The ability to remove inefficiencies through connected objects is driving change throughout every sector, including waste management. BigBelly Solar, located just outside of Boston, is trans...
SYS-CON Events announced today that Matrix.org has been named “Silver Sponsor” of Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Matrix is an ambitious new open standard for open, distributed, real-time communication over IP. It defines a new approach for interoperable Instant Messaging and VoIP based on pragmatic HTTP APIs and WebRTC, and provides open source reference implementations to showcase and bootstrap the new standard. Our focus is on simplicity, security, and supporting the fullest feature set.
Predicted by Gartner to add $1.9 trillion to the global economy by 2020, the Internet of Everything (IoE) is based on the idea that devices, systems and services will connect in simple, transparent ways, enabling seamless interactions among devices across brands and sectors. As this vision unfolds, it is clear that no single company can accomplish the level of interoperability required to support the horizontal aspects of the IoE. The AllSeen Alliance, announced in December 2013, was formed with the goal to advance IoE adoption and innovation in the connected home, healthcare, education, aut...
SYS-CON Events announced today that Red Hat, the world's leading provider of open source solutions, will exhibit at Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Red Hat is the world's leading provider of open source software solutions, using a community-powered approach to reliable and high-performing cloud, Linux, middleware, storage and virtualization technologies. Red Hat also offers award-winning support, training, and consulting services. As the connective hub in a global network of enterprises, partners, a...
The only place to be June 9-11 is Cloud Expo & @ThingsExpo 2015 East at the Javits Center in New York City. Join us there as delegates from all over the world come to listen to and engage with speakers & sponsors from the leading Cloud Computing, IoT & Big Data companies. Cloud Expo & @ThingsExpo are the leading events covering the booming market of Cloud Computing, IoT & Big Data for the enterprise. Speakers from all over the world will be hand-picked for their ability to explore the economic strategies that utility/cloud computing provides. Whether public, private, or in a hybrid form, clo...