CAMPBELL, Calif.--(BUSINESS WIRE)--Rainmaker Systems, Inc. (OTCQX: RMKR), a leading provider of external, for-profit based learning management solutions, today provided an update on the momentum of its ViewCentral LMS business. The Company is reporting 29% average quarter/quarter bookings growth in the year ending December 31, 2014.
ViewCentral LMS also secured renewal rates of 100% from existing customers in the fourth quarter of 2014 and 90% for the full fiscal year 2014.
“ViewCentral LMS ended the fourth quarter of 2014 with very strong bookings growth. The new bookings reflect the strength of our existing relationships with strategic customers, and confirm the demand in the market for a strong external-based extended enterprise LMS,” said Terry Lydon, Chief Executive Officer of Rainmaker. “With a strong sales management team, a growing pipeline, and the resounding support of our investors, I have never been more confident about the future of ViewCentral and that 2015 bookings growth will continue beyond what we have seen in 2014,” Mr. Lydon added.
As previously announced, Rainmaker Systems has successfully resolved a key legal settlement with a major creditor and completed a related fundraise. See press release: http://goo.gl/Tf35MP
For more information on Rainmaker Systems’ ViewCentral product, please visit www.viewcentral.com
Non-GAAP Financial Measures
Rainmaker Systems references bookings in this press release, which is a non-GAAP financial measure. Bookings are an operational metric which is defined as the amount of revenue we expect to earn from an agreement between Rainmaker and a customer for services over the course of the agreement. To count as a booking, we expect there to be persuasive evidence of an agreement between us and our customer and that the collectability of the amounts payable under the arrangement are reasonably assured. Due to the timing of revenue recognition, all of the revenue related to the booking may not be recorded in the period that it was transacted and would therefore be reported as part of revenue backlog and/or deferred revenue, thereby providing visibility into future revenue. However, because our bookings are based on orders that, under certain circumstances can be cancelled or adjusted, bookings may not convert into revenue earned.
About Rainmaker Systems, Inc.
Rainmaker Systems is a learning management solution provider to organizations of all size across the technology, financial services, biosciences, human resources, and consulting industries, among others. Rainmaker’s ViewCentral Learning Management System (LMS) allows organizations to monetize and facilitate the delivery of training and certification programs, enabling them to capture both incremental and recurring revenue from subscriptions-based offerings. Rainmaker Systems is headquartered in Campbell, Calif. For more information, please visit www.viewcentral.com.
Rainmaker Systems trades in the U.S. on OTCQX under the symbol “RMKR.”
Safe Harbor Statement
This press release contains forward-looking statements regarding future events. These forward-looking statements are based on information available to Rainmaker Systems as of this date and we assume no obligation to update any such forward-looking statements. These statements are not guarantees of future performance, and actual results could differ materially from current expectations. Among the important factors which could cause actual results to differ materially from those in the forward-looking statements are our ability to raise additional capital to meet our operating requirements, our ability to maintain compliance with our debt covenants, our ability to reduce our losses and achieve profitability, our client concentration, as we depend on a small number of clients for a significant percentage of our revenue, the possibility of the discontinuation and/or realignment of some client relationships, general market conditions, the high degree of uncertainty and our limited visibility due to economic conditions, our ability to execute our business strategy, the effectiveness of our sales team and approach, our ability to target, analyze and forecast the revenue to be derived from a client and the costs associated with providing services to that client, the date during the course of a calendar year that a new client is acquired, the length of the integration cycle for new clients and the timing of revenues and costs associated therewith, our ability to manage growth, potential competition in the marketplace, our ability to retain and attract employees, market acceptance of our solutions and pricing options, our ability to maintain our existing software technology and to deploy new technology, our ability to sign new clients and control expenses, the financial condition of our clients' businesses, the protection of our intellectual property and other factors detailed in the Company's filings with the Securities and Exchange Commission ("SEC"), including our filings on Forms 10-K and 10-Q.
