Cimatron profitable in Q1

Cimatron last week announced that it, too, was seeing the benefits of an economic rebound, reporting that fist quarter revenue was up 12% on new license revenue growth of 24% in constant currency. Maintenance, which represents 50% of total revenue, was up 5% in constant currency — a bit worrisome but clearly lagging as a result of poor new license sales over the past 2 years.

Total revenue for Q1 was $8.9 million (up from $7.9 million a year ago). Most important, Cimatron’s operating income in the first quarter of 2011 was $0.4 million, compared to an operating loss of $0.1 million a year ago. Bottom line: net income for the first quarter of 2011 was $0.3 million, or $0.04 per share, compared to a net loss of $0.01 per share last year.

CEO Danny Haran said that he was "pleased with the first quarter results, and the continued momentum in our business. We are pleased with both new license sales as well as the growth in our recurring maintenance revenues. With the strong cash flow and solid cash balance, we are also pleased to announce our first cash dividend since 1999 [about $0.13 per share]. We remain confident with respect to the remainder of 2011, where we expect the upcoming versions of CimatronE and GibbsCAM and the NC SuperBox to further boost sales".