Revenues of $5.6 million for Q1 2009

Versant Corporation (NASDAQ:VSNT), an industry leader in specialized data management, today announced its financial results for its first fiscal quarter ended January 31, 2009.

For the quarter, Versant reported revenues of $5.6 million from its continuing operations, compared to $6.3 million for the same quarter last year, representing a decrease of approximately 11%. This decrease was attributable to a strengthening of the USD against the Euro and to a decrease in license revenues for the quarter compared to the same quarter in the prior fiscal year. No customer accounted for more than 10% of total revenues in the quarter ended January 31, 2009, whereas one customer contributed approximately 23% of total revenues in the quarter ended January 31, 2008.

Net income for the quarter was $1.6 million and diluted net income per share was $0.42, compared to net income of $2.6 million and diluted net income per share of $0.69 for the first quarter of fiscal 2008.  Net income for the quarter was negatively affected by reduced revenues in the quarter as well as a non recurring employment separation expense of approximately $275,000.  

Versant also reported a decrease in cash and cash equivalents of approximately $2.5 million during the quarter. This decrease was primarily a result of our cash acquisition of db4o for $2.1 million, the expenditure of $1.1 million to repurchase shares of our common stock under the stock repurchase program we announced in December 2008, and an increase in trade accounts receivable of $2.7 million, offset partially by an increase in deferred revenues of $1.2 million.

Since announcement of the stock repurchase program, Versant has acquired 76,692 common shares on the open market for approximately $1.1 million at an average purchase price of $14.39 per share, leaving approximately $3.9 million in authorized funds available for future repurchases of stock under this program.  

“Despite the continued challenging economic environment, we are pleased with our revenue performance in the current quarter. We were able to accomplish solid revenue levels without depending on large transactions.  We completed our acquisition of db4o during the quarter and have made significant progress with its integration”, said Jochen Witte, CEO of Versant Corporation.

Versant Corporation and Subsidiaries Condensed Consolidated Balance Sheet and Versant Corporation and Subsidiaries Condensed Consolidated Statement of Operations

For Versant Corporation and Subsidiaries Condensed Consolidated Balance Sheet and Versant Corporation and Subsidiaries Condensed Consolidated Statement of Operations click here (PDF file, approx. 132 KB).

About Versant Corporation
Versant Corporation (NASDAQ: VSNT) is an industry leader in specialized data management software, which helps companies to handle complex information in environments that have high performance and high availability requirements. Using the Versant Object Database, customers cut hardware costs, speed and simplify development, significantly reduce administration costs, and deliver products with a strong competitive edge. Versant’s solutions are deployed in a wide array of industries including telecommunications, financial services, transportation, manufacturing, and defense. With over 50,000 installations, Versant has been a highly reliable partner for over 15 years for Global 2000 companies such as Ericsson, Verizon, Sagem, US Government, and Financial Times.  For more information, call 650-232-2400 or visit www.versant.com.

^{Forward Looking Statements Involve Risks and Uncertainties
This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the safe harbor created by those sections.  These forward-looking statements may include the statement in this press release regarding the amount of funds available for the future repurchase of shares of our common stock under our stock repurchase program announced in December 2008, which may be terminated at any time at Versant’s discretion.}  

^{There are many important factors and risks that could cause our actual results to differ materially from those anticipated in the forward-looking statements or otherwise be adversely affected. These factors, risks and uncertainties include, without limitation: the impact of the current downturn in the global economy, which may reduce our customers’ revenues and profits and thus dissuade them from making strategic capital purchase decisions for our products and services; our inability to achieve revenue expectations or projected net income levels as a result of the foregoing factors or delays in the sales cycle for our products and services or failures to close key sales transactions; changing market demands or perceptions of our products and technologies; failure to develop new customers; the fact that our results of operations are highly dependent on sales of our Versant Object Database product; the performance of our resellers; the possibility that existing value added resellers may not remain committed to our software or that their sales activity may not keep pace with their historical results; the timing of larger customer transactions, which may tend to result in significant variations in quarterly revenues and operating results; potential reductions in the prices we charge for our products and services due to competitive conditions or the general economic downturn; changes in currency exchange rates; the Company’s ability to successfully manage its costs and operations and maintain adequate working capital; any failure of our efforts to capitalize on the recently acquired db4o database business or to ultimately make that business profitable; Mr. Witte’s ability to successfully perform the dual roles of Chief Executive Officer and Executive VP Field Operations until the Company hires a new sales executive; and, the use of our cash to repurchase shares of our stock under our stock repurchase program announced in December 2008 or the termination of that program.  The forward-looking statements contained in this press release are made only as of the date of this press release, and the Company assumes no obligation to publicly update any forward-looking statement. Investors are cautioned not to place undue reliance on forward-looking statements. Additional information concerning factors that could cause results to differ can be found in the Company’s filings with the Securities and Exchange Commission, including without limitation the Company’s most recent Annual Report on Form 10-K for the year ending October 31, 2008, its reports on Form 10-Q and its reports on Form 8-K.}

^{Versant is a registered trademark or trademark of Versant Corporation in the United States and/or other countries.}