Websense Completes Financial Restatement Relating to Revision of OEM Revenue Recognition Policy and Miscalculation of
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SAN DIEGO, CA, Oct 29 (MARKET WIRE) --
Websense (NASDAQ: WBSN) today announced that it has filed with the
Securities and Exchange Commission amendments to its Annual Report on
Form 10-K for the year ended December 31, 2008 and Quarterly Reports on
Form 10-Q for the quarters ended March 31, 2009 and June 30, 2009.
Amendment No. 1 on Form 10-K/A for the year ended December 31, 2008
restates consolidated financial information for the years ended December
31, 2008 and December 31, 2007, as well as quarterly results for those
years.
The restatements relate to an error in the method of recognizing royalty
revenue related to contracts with original equipment manufacturer (OEM)
customers (and its associated impact on the tax provision), and an error
in the computation of the income tax provision for the fiscal year ended
December 31, 2008 that overstated the company's estimate of taxable income
for the purposes of the provision. Additionally, the restated consolidated
financial statements include other adjustments that were identified but
not previously recorded as they were determined not to be material, either
individually or in the aggregate.
The following table summarizes the quarterly impact of the adjustments to
the company's reported net income and loss (unaudited, in thousands).
Previously OEM
Fiscal reported Revenue- Net income
Quarter net income timing Income tax Other (loss) as
Ended (loss) Adjustments adjustments adjustments restated
----------- ----------- ----------- ----------- -----------
June 30,
2007 $ 2,129 -- $ (828) $ (25) $ 1,276
September
30, 2007 6,395 -- (103) 59 6,351
December
31, 2007 (26,956) (1,283) 325 (61) (27,975)
March 31,
2008 (6,237) (1,939) 1,463 12 (6,701)
June 30,
2008 (8,194) (2,696) 1,602 (323) (9,611)
September
30, 2008 (3,497) (1,779) 573 (110) (4,813)
December
31, 2008 (11,943) (1,266) 7,760 (205) (5,654)
March 31,
2009 (4,295) (3,371) 6,844 (265) (1,087)
June 30,
2009 3,121 (1,585) 1,448 351 3,335
Complete restated GAAP and non-GAAP results, as well as a
reconciliation of GAAP to non-GAAP results, are available for each
quarter on the company's website at investor.websense.com.
Third Quarter 2009 Financial Results and Conference Call
Websense plans to release results for the third quarter ended September
30, 2009 on Thursday, October 29, at approximately 5:30 a.m. Pacific time.
Management will host a conference call and simultaneous webcast to discuss
the final results at 6:00 a.m. Pacific time. To participate in the
conference call, investors should dial 888-503-8171 (domestic) or
719-457-2626 (international) ten minutes prior to the scheduled start of
the call. A simultaneous audio-only webcast of the call may be accessed on
the Internet at www.websense.com/investors.
An archive of the webcast will be available on the company's Web site
through December 31, 2009, and a taped replay of the call will be
available for one week at 719-457-0820 or 888-203-1112, passcode 8405935.
About Websense, Inc.
Websense, Inc. (NASDAQ: WBSN), a global leader in integrated Web, data and
email security solutions, provides Essential Information Protection(TM)
for more than 40,000 customers worldwide, including 80 percent of the top
100 global companies. Distributed through its global network of channel
partners, Websense software and hosted security solutions help
organizations block malicious code, prevent the loss of confidential
information and enforce Internet use and security policies. For more
information, visit www.websense.com.
INVESTOR CONTACT:
Kate Patterson
Websense, Inc.
(858) 320-8072
kpatterson@websense.com
MEDIA CONTACT:
Sarah Needham
Websense, Inc.
(858) 320-9340
sneedham@websense.com
Copyright 2009, Market Wire, All rights reserved.
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