NUANCE COMMUNICATIONS (NUAN) [Rocket]

In millions, except per share items	Dec-31-04	Dec-31-03	Dec-31-02	Dec-31-01	Dec-31-00
	10-K	10-K	10-K	10-K	10-K
Revenues:
License	26.4	28.2	26.8	20.8	37.6
Service	15.8	14.3	8.2	10.9	9.3
Maintenance	15.7	12.6	9.1	7.7	4.9
Total revenues	57.9	55.0	44.1	39.3	51.8
Revenue growth [+]	5.2%	24.8%	12.2%	-24.2%
License	-6.4%	5.3%	29.0%	-44.7%
Service	10.8%	74.2%	-24.6%	16.5%
Maintenance	24.6%	37.9%	18.6%	55.4%
Cost of goods sold	13.5	12.9	11.7	16.3	10.8
Gross profit	44.4	42.1	32.4	23.0	41.1
Gross margin	76.7%	76.6%	73.5%	58.6%	79.3%
Selling, general and administrative [+]	37.8	39.7	53.1	53.3	44.1
Sales and marketing	26.7	28.2	39.7	39.1	34.1
General and administrative	11.0	11.5	13.4	14.2	10.0
Research and development	14.5	15.3	14.2	21.2	20.2
Other operating expenses	19.8	9.4	38.2	66.3	5.2
EBITDA [+]	-24.7	-18.1	-68.2	-109.9	-25.7
EBITDA growth	36.6%	-73.5%	-37.9%	328.1%
EBITDA margin	-42.7%	-32.8%	-154.7%	-279.5%	-49.5%
Depreciation	2.6	3.8	4.3	4.4	2.7
EBITA	-27.3	-21.9	-72.5	-114.3	-28.3
EBITA margin	-47.1%	-39.7%	-164.5%	-290.8%	-54.7%
Amortization of intangibles	0.4	0.4	0.6	3.5
EBIT [+]	-27.7	-22.3	-73.1	-117.8	-28.3
EBIT growth	24.2%	-69.5%	-38.0%	315.8%
EBIT margin	-47.8%	-40.5%	-165.8%	-299.7%	-54.7%
Non-recurring items					1.5
Other income (expense), net	1.1	1.2	2.7	8.0	6.7
Pre-tax income	-26.6	-21.1	-70.4	-109.8	-23.1
Income taxes	-0.4	-1.8	0.8	0.6	0.4
Tax rate	1.6%	8.6%
Net income	-26.2	-19.3	-71.2	-110.4	-23.5
Net margin	-45.2%	-35.1%	-161.5%	-280.8%	-45.3%

Basic EPS [+]	($0.74)	($0.56)	($2.11)	($3.40)	($1.03)
Growth	31.8%	-73.5%	-37.8%	228.8%
Diluted EPS [+]	($0.74)	($0.56)	($2.11)	($3.40)	($1.03)
Growth	31.8%	-73.5%	-37.8%	228.8%

Shares outstanding (basic) [+]	35.5	34.5	33.7	32.5	22.7
Growth	2.9%	2.4%	3.7%	43.0%
Shares outstanding (diluted) [+]	35.5	34.5	33.7	32.5	22.7
Growth	2.9%	2.4%	3.7%	43.0%

EBIT is a non-GAAP figure that excludes all non-recurring expenses: restructuring costs, asset impairments, IPR&D writeoffs, and other unusual charges.