SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
----------------------
F O R M 6-K
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of February 2006
RADVISION LTD.
(Name of Registrant)
24 Raoul Wallenberg Street, Tel Aviv 69719, Israel
(Address of Principal Executive Office)
Indicate by check mark whether the registrant files or will
file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F [X] Form 40-F [ ]
Indicate by check mark if the registrant is submitting the
Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): [ ]
Indicate by check mark if the registrant is submitting the
Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): [ ]
Indicate by check mark whether by furnishing the information
contained in this Form, the registrant is also thereby furnishing the
information to the Commission pursuant to Rule 12g3-2(b) under the Securities
Exchange Act of 1934.
Yes [ ] No [X]
If "Yes" is marked, indicate below the file number assigned to
the registrant in connection with Rule 12g3-2(b): 82-____________
This Form 6-K is being incorporated by reference into the Registrant's Form S-8
Registration Statements File Nos. 333-45422, 333-53814, 333-55130, 333-66250,
333-82488, 333-104377, 333-116964 and 333-127013.
RADVision Ltd.
6-K Items
1. Press release re RADVISION Reports Record Results for Fourth Quarter
and Full Year 2005 dated February 8, 2006.
ITEM 1
Press Release Source: RADVISION Ltd.
RADVISION Reports Record Results for Fourth Quarter and Full Year 2005
Wednesday February 8, 7:00 am ET
Fourth Quarter Revenues of $21.2 million and EPS of $0.24 Exceed Forecast
FAIR LAWN, N.J.--(BUSINESS WIRE)--Feb. 8, 2006--RADVISION (Nasdaq: RVSN - News)
today announced that revenues for the fourth quarter of 2005 reached a record
$21.2 million. This was a 21% increase from the fourth quarter of 2004 and
$670,000 above the Company's forecast for the quarter.
Operating income for the fourth quarter of 2005 rose 89% from the fourth quarter
of 2004 to $4.2 million.
Net income for the 2005 fourth quarter nearly doubled to a record $5.4 million,
or $0.24 per diluted share, compared with $2.8 million or $0.13 per diluted
share reported in the 2004 fourth quarter. The Company had forecast that 2005
fourth quarter net income would be $4.5 million or $0.20 per diluted share.
Business Unit revenues for the fourth quarter of 2005 consisted of $15.2 million
in Networking Business Unit (NBU) sales and $6.0 million in Technology Business
Unit (TBU) sales, representing increases of 27% and 8%, respectively, over the
fourth quarter of 2004.
For full year 2005, revenues were $74.0 million, operating income was $11.5
million and net income was $14.7 million or $0.66 per diluted share. For 2004,
revenues were $64.2 million, operating income was $4.1 million and net income
was $6.0 million or $0.28 per diluted share.
The Company ended the fourth quarter of 2005 with approximately $125.0 million
in cash and liquid investments, an increase of $9.2 million over the 2005 third
quarter, and equivalent to $5.80 per basic share. The increase reflects cash
flow of $5.8 million from operations and income of $3.8 million from the
exercise of options, offset by $400,000 in capital expenditures.
Boaz Raviv, Chief Executive Officer, commented: "Strong growth of our NBU
supported by better than forecasted TBU revenues were the principal drivers of
our record fourth quarter results."
"Our NBU benefited from sales to the Federal market of our desktop software
solution, Click to Meet(TM), as well as from initial sales of Click to Meet for
Microsoft Live Meeting. We also had record revenues from our channel partner
Cisco in the fourth quarter, which included $1 million related to the Defense
Information Systems Agency (DISA) contract. As previously reported, we expect to
receive a total of $6 to $8 million from this important contract. Our revenues
from Aethra demonstrated strong growth in the fourth quarter as well and they
have become our second largest customer.
"We saw strong growth in our 3G revenues in the fourth quarter, with a total of
six new deals with Service Providers in the Asia Pacific and EMEA regions,
mainly for new 3G video applications they are developing such as video mail to
offer to consumers. One of those will use Click to Meet for a commercial service
based on 3G.
"Our TBU achieved better than expected performance in the fourth quarter
reflecting very strong growth in royalties and increased maintenance fee
revenues. Revenues from licenses improved from the third quarter and rose 15%
year over year. We continued to see strong demand for our SIP and SIP server
toolkits as well as for our 3G-324M toolkits and testing tools. We also moved
forward in supporting the IP Multimedia Subsystem (IMS), which is a new
architecture supporting multimedia services for 3G and cable networks, to build
upon the technology leadership of our TBU.
Mr. Raviv concluded: "Our strong performance in the fourth quarter led to a
record year for RADVISION. We expect to achieve further growth in 2006 as video
conferencing continues to expand beyond the meeting room and reaches the
applications we touch every day."
Guidance
The following statements are forward-looking, and actual results may differ
materially.
The Company expects revenues for the first quarter 2006 to be approximately
$20.0 million and net income to approximate $2.1 million or $0.09 per diluted
share. This includes stock-based compensation expense related to the adoption of
FAS123(R) of $1.2 million or $0.05 per diluted share and tax expense of $300,000
or $0.01 per diluted share. Before these items, first quarter 2006 net income is
expected to be $3.6 million or $0.15 per diluted share. This compares to first
quarter 2005 revenues of $16.3 million and net income of $2.4 million or $0.11
per diluted share. (Full details are available on the Company's web site at
www.radvision.com.)
Fourth Quarter 2005 Earnings Conference Call/Webcast
RADVISION will hold a conference call to discuss its fourth quarter 2005 results
and first quarter 2006 outlook, today, Wednesday, February 8, 2006 at 9:00 a.m.
(Eastern). To access the conference call, please dial 1-888-455-9744
(International dialers can call +1-210-234-0002) by 8:45 a.m. The passcode
"RADVISION" will be required to access the live conference call. A live webcast
of the conference call also will be available in the Investor Relations section
of the company's website at www.radvision.com and archived on the site until the
next quarter. Simply point to Corporate Information and click on Investors.
A PowerPoint presentation highlighting key financial metrics as well as the
first quarter 2006 estimate also will be available in the Investor Relations
section of the company's website. The presentation will be available beginning
at 8:00 a.m. (Eastern) on February 8th and will be archived on the website until
the end of the first quarter. A replay of the call will be available beginning
approximately one hour after the conclusion of the call through 11:00 p.m.
(Eastern) on February 16th. To access the replay, please dial 1-800-568-4204
(International dialers can call +1-203-369-3290).
About RADVISION
RADVISION Ltd. (Nasdaq: RVSN - News) is the industry's leading provider of high
quality, scalable and easy-to-use products and technologies for
videoconferencing, video telephony, and the development of converged voice,
video and data over IP and 3G networks. For more information, please visit our
website at www.radvision.com.
This press release contains forward-looking statements that are subject to risks
and uncertainties. Factors that could cause actual results to differ materially
from these forward-looking statements include, but are not limited to, general
business conditions in the industry, changes in demand for products, the timing
and amount or cancellation of orders and other risks detailed from time to time
in RADVISION's filings with the Securities Exchange Commission, including
RADVISION's Form 20-F Annual Report. These documents contain and identify other
important factors that could cause actual results to differ materially from
those contained in our projections or forward-looking statements. Stockholders
and other readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date on which they are
made. We undertake no obligation to update publicly or revise any
forward-looking statement.
RADVISION LTD.
Consolidated Statements of Income
(U.S. Dollars in thousands, except per share data)
Three months ended Twelve months ended
December 31, December 31,
2005 2004 2005 2004
----------- ----------- ----------- -----------
Audited
-----------
Revenues $21,170 $17,562 $74,012 $64,236
Cost of revenues 3,830 3,390*) 13,110 13,880*)
----------- ----------- ----------- ----------
Gross profit 17,340 14,172 60,902 50,356
----------- ----------- ----------- ----------
Operating costs and
expenses:
Research and
development 5,230 4,539 20,110 17,484
Marketing and
selling 6,660 6,148*) 24,588 23,848*)
General and
administrative 1,201 1,237 4,677 4,900
----------- ----------- ----------- ----------
Total operating costs
and expenses 13,091 11,924 49,375 46,232
----------- ----------- ----------- ----------
Operating income 4,249 2,248 11,527 4,124
Financial income, net 948 516 3,051 1,860
----------- ----------- ----------- ----------
Income before taxes 5,197 2,764 14,578 5,984
Taxes on income, net 153 - 112 -
----------- ----------- ----------- ----------
Net income $5,350 $2,764 $14,690 $5,984
=========== =========== =========== ==========
Basic net earnings per
Ordinary share $0.25 $0.14 $0.70 $0.30
=========== =========== =========== ==========
Weighted average
number of shares
outstanding during
the period - basic 21,557,589 20,239,435 21,121,908 19,822,061
=========== =========== ========== ===========
Diluted net earnings
per Ordinary share $0.24 $0.13 $0.66 $0.28
=========== =========== =========== ==========
Weighted average
number of shares
outstanding during
the period - diluted 22,740,403 21,521,337 22,214,949 21,399,324
=========== =========== ========== ===========
*) Reclassified from Marketing and selling expenses to Cost of revenues: $203
and $772 for the three and twelve months periods ended December 31, 2004,
respectively.
RADVISION LTD.
Consolidated Balance Sheets
(U.S. Dollars in thousands)
December December
31, 31,
2005 2004
-------- ---------
(Audited)
---------
Assets
Cash and cash equivalents (** see below) $32,927 $20,206
Short-term securities and bank deposits (** see
below) 63,518 51,411
Trade receivables, net 12,257 10,063
Other receivables 4,318 3,900
Inventories 2,593 1,220
-------- ---------
Total current assets 115,613 86,800
-------- ---------
Severance pay fund 2,931 2,733
Long-term securities and bank deposits (** see
below) 28,506 38,749
-------- ---------
Total long-term assets 31,437 41,482
-------- ---------
Property and Equipment
Cost 16,554 14,584
Less accumulated depreciation 13,364 11,937
-------- ---------
3,190 2,647
-------- ---------
Other assets, net 6,508 953
-------- ---------
Total Assets 156,748 131,882
======== =========
Liabilities and Shareholders' Equity
Trade payable 1,783 1,939
Other payables and accrued expenses 20,655 19,466
-------- ---------
Current liabilities 22,438 21,405
-------- ---------
Accrued severance pay 3,643 3,701
-------- ---------
Total liabilities 26,081 25,106
-------- ---------
Shareholders' Equity
Share capital 218 196
Additional paid in capital 116,446 107,267
Retained earnings (accumulated deficit) 14,003 (687)
-------- ---------
Total shareholders' equity 130,667 106,776
-------- ---------
Total Liabilities and Shareholders' Equity 156,748 131,882
======== =========
(**) Total cash and liquid investments 124,951 110,366
======== =========
Contact:
RADVISION
Investor Relations:
Tsipi Kagan, 201-689-6340
cfo@radvision.com
or
Comm-Partners LLC
June Filingeri, 203-972-0186
junefil@optonline.net
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
RADVISION LTD.
(Registrant)
By /s/Arnold Taragin
-----------------
Arnold Taragin
Corporate Vice President and General Counsel
Date: February 8, 2006