SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): July 14, 2003
VASCO Data Security International, Inc.
(Exact name of registrant as specified in charter)
Delaware 000-24389 36-4169320
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(State or other juris- (Commission (IRS Employer
diction of incorporation) File Number) Identification No.)
1901 South Meyers Road, Suite 210
Oakbrook Terrace, Illinois 60181
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (630) 932-8844
N/A
(Former name or former address, if changed since last report)
ITEM 12. RESULTS of OPERATIONS and FINANCIAL CONDITION.
On July 8, 2003, VASCO Data Security International, Inc. (VASCO) issued a press
release providing a financial update for the second quarter ended June 30, 2003.
The full text of the press release is attached as Exhibit 99.1 to this Report.
SIGNATURE
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 hereunto duly authorized.
Date: July 14, 2003 VASCO Data Security International, Inc.
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(Registrant)
By: /s/Clifford K. Bown
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Clifford K. Bown
Chief Financial Officer
EXHIBIT INDEX
Exhibit No. Description
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99.1 Press release, dated July 8, 2003, announcing
financial update of VASCO Data Security
International, Inc for the second quarter ended
June 30, 2003.
EXHIBIT 99.1
VASCO Provides Second Quarter Update - Expects Operating Income in Q2 2003
Revenues Increase in Q2, and Maintained Strong Cash Position and Order Backlog
OAKBROOK TERRACE, Illinois and BRUSSELS, Belgium - July 8, 2003 - VASCO (Nasdaq
SC: VDSI; www.vasco.com), a global provider of enterprise-wide security products
that support e-business and e-commerce, today announced that revenues for the
second quarter of 2003 are expected to be in the range of $6.3 million to $6.5
million, compared with $5.6 million for the first quarter of 2003 and $4.2
million for the second quarter of 2002. Revenues for the quarter reflect the
strong backlog position entering the quarter and the continued strong order flow
during the second quarter of 2003. Revenue for the first six months ended June
30, 2003 are expected to be in the range of $11.9 to $12.1 million, compared
with $10.2 million for the six months ended June 30, 2002. VASCO expects to
report operating income for the second quarter of 2003 and the six months ended
June 30, 2003.
The Company indicated that its backlog at June 30, 2003, for firm orders to be
delivered in the third quarter of 2003, was approximately $5.0 million, which
was comparable to the backlog of orders on hand at the beginning of the second
quarter for delivery in the second quarter of 2003.
The Company also indicated that it expects its cash position at June 30, 2003 to
be comparable to the $3.9 million reported at March 31, 2003 and that all of its
credit facilities remained in place, including an unused line of credit for up
to 2 million Euros.
"We are pleased with the results of our second quarter. As noted in the first
quarter, we are committed to managing our business in a controlled, profitable
manner, while fully participating in the strong growth of the IT security
sector. The results of the second quarter will show substantial revenue growth
over prior comparable periods as well as a second consecutive quarter of
operating profit" stated Jan Valcke, President and COO.
"Jan and his team are doing an excellent job of executing the business plan we
established at the beginning of the year." stated T. Kendall Hunt, Chairman and
CEO. "Not only has the VASCO team delivered strong results for the first half of
2003, but it has also positioned the Company well to have a good third quarter
as evidenced by the strong order backlog. While the third quarter is
traditionally weaker than other quarters, given the European holidays, we are
delighted that we will be entering the quarter with a backlog of firm orders for
shipment in the quarter of $5 million."
VASCO indicated that it expects to release final results for the second quarter
2003 during the week beginning July 21st 2003. The Company will schedule a
conference call to discuss the results and answer related questions at that
time.
About VASCO: VASCO designs, develops, markets and supports patented "Identity
Authentication" products for e-business and e-commerce. VASCO's Identity
Authentication software is delivered via its Digipass security products, small
"calculator" hardware devices carried by an end user, or in a software format on
mobile phones, other portable devices, and PCs. For user access control, VASCO's
VACMAN products guarantee that only designated Digipass users get access to the
application. VASCO's target markets are the applications and their several
hundred million users that utilize fixed passwords as security. VASCO's
time-based system generates a "one-time" password that changes with every use,
and is virtually impossible to hack, or break. With 10 million Digipass products
sold and ordered, VASCO has established itself as a world-leader for strong
Identity Authentication with 200 international financial institutions,
approximately 1000 blue-chip corporations, and governments representing more
than 50 countries.
Forward Looking Statements
Statements made in this news release that relate to future plans, events or
performances are forward-looking statements. Any statement containing words such
as "believes," "anticipates," "plans," "expects," and similar words, is
forward-looking, and these statements involve risks and uncertainties and are
based on current expectations. Consequently, actual results could differ
materially from the expectations expressed in these forward-looking statements.
Reference is made to the Company's public filings with the US Securities and
Exchange Commission for further information regarding the Company and its
operations.
More information is available at www.vasco.com.
For more information contact:
Media: Jochem Binst: +32 2 456 9810, jbinst@vasco.com
Investor Relations: Tony Schor, President, Investor Awareness, Inc.:
847-945-2222, tonyschor@investorawareness.com