COMPANY PRESS RELEASE: SonicWALL a leading provider of comprehensive Internet security solutions, has reported revenues of $33.1 million for the fourth quarter ended December 31, 2001, representing an increase of 56% compared to revenues of $21.2 million for the fourth quarter of 2000.
Revenues for fiscal year 2001 were $112 million, an increase of 61% over fiscal year 2000 revenues of $69.4 million.
Pro forma net income for the fourth quarter of 2001, which excludes acquisition related charges and stock based compensation expense, increased 39% to $6.0 million, or $0.09 per diluted share, compared to pro forma net income of $4.3 million, or $0.07 per diluted share, in the same period a year ago. The net loss for the fourth quarter of 2001, which includes acquisition related charges and stock based compensation expense, was $4.8 million, or $(0.07) per share, compared to the net loss of $2.9 million, or $(0.05) per share, during the same period of the prior year. Pro forma net income for fiscal year 2001 was $21.6 million, or $0.31 per diluted share, compared with pro forma net income of $19.3 million, or $0.32 per diluted share, reported in fiscal year 2000. The net loss for fiscal year 2001 was $20.9 million, or $(0.32) per share, compared with net income of $8.7 million, or $0.14 per diluted share, reported in fiscal year 2000.
Revenues increased by 19% sequentially over the $27.8 million reported in the third quarter of 2001. Pro forma net income increased by 14% sequentially compared with pro forma net income of $5.3 million, or $0.08 per diluted share, reported in the third quarter of 2001. Net loss decreased by 8% sequentially compared with a net loss of $5.2 million, or $(0.08) per share, reported in the third quarter of 2001.
I am pleased by the strength of our financial results as we executed on our strategic initiatives during 2001, and I am excited by the preparations that we are making to extend our leadership in 2002, said Cosmo Santullo, President and CEO of SonicWALL. During 2001, we continued to increase our market share with an industry leading portfolio of Internet security solutions, including our own high performance ASIC based access security appliances, whose functionality addresses the needs of the individual telecommuter to the large enterprise. Our transaction security solutions continued their penetration into the large enterprise and data center markets, as we continued to bring new levels of innovation to our SSL product family. We remain particularly encouraged by the growth of our license and service revenues, which represented 23% of our total revenues for fiscal year 2001, and 26% of total revenues for the fourth quarter of 2001. We have a unique ability to offer our installed base of approximately 220,000 units worldwide integrated security products such as VPN, content filtering and anti-virus services, and it was the success of this strategic advantage that drove the growth in our license and service revenues. In 2001, we demonstrated the strength of our leadership in the SME market, we have continued expansion into the large enterprise through our SSL, GX and Global Management technologies, and we delivered market leading financial results. It is the combination of these strengths that position us for continued success in 2002.