Optika Imaging Systems Inc. announced first quarter 1997 results earlier this week. Revenues were up 46% to more than $4.5 million, compared to $3.1 million in the first quarter 1996. Net income was up from $2,000 to $73,000 for the comparable quarters.
“Our growth in the quarter was driven by several factors, including an outstanding performance in all our international markets,” said Mark K. Ruport, president, chief executive officer, and chairman of the board for Optika. “Further, we continued our strong performance in the health care market with a 59% increase in revenue compared to the same quarter last year.”
Optika creates and markets software for paper intensive environments such as the medical, financial, and retail industries. Its uniqueness lies in its ability to incorporate internal document management, document imaging, and workgroup-based software in one line of products called FilePower.
Ruport said Optika made a commitment at the end of 1995 to be a global company. That commitment has grown the nine-year-old company’s international sales from 12% of revenues in 1995 to 30% of revenues in 1996, Ruport said.
In February, Optika added 11 new international business solution partners, which are resellers of Optika’s document imaging software suite. The new additions include BSPs in such countries as Canada, New Zealand, and South Africa. The company has approximately 240 BSPs in 33 countries.
One year ago, Optika used $1.5 million in venture capital it received from the Kansas City, Mo.-based fund, Frontenac, to decentralize its sales force by setting up sales and support offices around the world, among other things. It opened international offices in Hong Kong, Sydney, Australia, and Kuala Lampur, Malaysia. This year a new office is scheduled to open in Germany. An office in Chicago is also scheduled to open in 1997.
The company went public in July 1996, raising nearly $11.3 million. It is listed as OPTK on the NASDAQ.
Optika has also used its VC funding and proceeds from the IPO to perfect MediPower, a version of its software specifically aimed at the health care industry. MediPower is currently used in approximately 125 sites across the United States, 38 of which were added in 1996 alone.
Revenues from the health care industry account for 18% of first quarter revenues, Ruport said. That figure is up from 5% in the first quarter of 1996. Ruport attributes the growth to the cost of dealing with paperwork. He estimates that cost to be as much as 40% of total administrative costs.
Another reason for Optika’s success is the simplification and the lowering of the cost of the technology behind creating paperless environments. Ruport said Optika’s customers see a faster return on their investment.
Optika’s training facilities are booked through June. When the company moves into its new 44,000-square-foot building on Campus Drive next month, the training schedule will open up a little. But Ruport said the company is still looking to open an East Coast training facility.