MICROS Systems, Inc. (MCRS) recently announced that it will acquire TIG Global, one of the leading interactive marketing companies.
Headquartered in Washington, DC, TIG Global serves the online needs of a diverse portfolio of clients located around the world.
Management stated that TIG Global’s leading technology and focus on the hospitality and travel industry makes TIG the ideal partner for MCRS in providing best-in-breed solutions to clients on a worldwide basis. TIG generated $28.5 million in 2008 and employed 120 people.
Earlier, management stated that business conditions around the world are finally showing signs of improvement after an acute recessionary environment. Fiscal 2010 first quarter results came in line with expectations. Revenues were down year over year and sequentially as consumer spending was weak, which is not expected to improve significantly unless job creation accelerates.
Going forward, the company plans to invest in new products and services which should pay when growth returns to normal levels. The company expects revenues of $910 million in fiscal 2010. EPS is anticipated around $1.39 – $1.40.
A number of positive catalysts could lead to improved business fundamentals over the next nine to twelve months, including new hotel and casino wins, strong sales growth, margin improvement, and a positive perception of the investment community. However, we would like to remain on the sidelines till we have better clarity of its fiscal 2010 growth prospects, given the fact that economic recovery is going to be a slow affair. Headquartered in Columbia, MD, Micros Systems designs, manufactures, markets, and services enterprise information solutions for the hospitality and specialty retail industries.
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