New Stock Repurchase Program Approved
Versant's Board of Directors has approved a new stock repurchase program. Under the program, Versant is authorized to repurchase up to $5.0 million worth of its outstanding common shares from time to time on the open market, in block trades or otherwise. Whether any such repurchases are made will depend on market conditions, the share price and other factors. The program may be suspended or discontinued at any time and no assurance can be given that any stock repurchases will in fact be made under this program. Any repurchases made under the program are expected to be funded from the Company's working capital.
The new stock repurchase program succeeds Versant's fiscal 2010 repurchase program, which expired by its terms on October 31, 2010. Under that repurchase program the Company repurchased a total of 356,104 common shares from December 2009 to October 2010 at an average price of $12.06 per share for a total amount of approximately $4.3 million.
Guidance for Fiscal 2011"In the fourth quarter of fiscal 2010, Versant was able to increase its revenues relative to the same period last year. For the year ended October 31, 2010, Versant achieved its revised revenue guidance of $15.5 million to $16.5 million and exceeded its revised guidance for income from operations of $1.0 million to $1.7 million. As a result of our increased sales and marketing efforts, Versant was able to win 22 new customers during the year," said Jochen Witte, CEO of Versant Corporation. "The Company currently expects to increase its fiscal 2011 revenues by approximately 5% over its revenues for fiscal 2010. The Company plans to continue to increase sales and marketing spending in fiscal 2011 in order to continue to build momentum in new customer acquisitions, and as a result, the Company expects its net income for fiscal 2011 to remain essentially unchanged from its net income for fiscal 2010."