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Home » As the Business Software Universe Continues to Shrink, i2 Technologies Soldiers On

As the Business Software Universe Continues to Shrink, i2 Technologies Soldiers On

July 1, 2006
Global Logistics & Supply Chain Strategies

The consolidation parade among software vendors continues: Infor is buying SSA Global (it could just as easily have been the other way around), JDA Software Group is swallowing Manugistics Group, and Lockheed Martin is acquiring Savi Technology, to name just a few of the more recent announcements. Meanwhile, i2 Technologies, Inc. remains alive and independent. The company that, at its lowest point, was delisted from the NASDAQ after its stock price plummeted, is bouncing back, according to chairman and chief executive officer Michael McGrath. Addressing the i2 Planet 2006 user conference in Las Vegas, he claimed that i2 has achieved its goal of regaining financial stability. Income from continuing operations was $43.4m in fiscal 2005, compared with a loss of nearly $4.8m in the previous year. Total revenues dropped, to $337m from $363m, although McGrath noted that revenue from software solutions, the heart of i2's business, rose to $90m from $54m. At the same time, i2 addressed its biggest short-term threat, the $317m in debt that was due by the end of this year. Debt renegotiation, fresh equity and the sale of its Trade Service Corporation and Content and Data Services business units gave i2 some breathing room. A reverse stock split helped the company to meet the qualifications for relisting on the NASDAQ. McGrath said the vendor is moving ahead with its "next-generation" supply chain management software, focused on collaboration among trading partners. "We intend to dominate the market for next-generation solutions," he said.
Visit www.i2.com.

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