BIG DATA

ATLANTA, GA -- Concurrent Computer Corporation (Nasdaq:CCUR) today reported its third consecutive year of growth in Video-On-Demand (VOD) revenue from its XSTREME Division, which aggregated $23.8 million in fiscal year 2001 compared to $12.0 million in fiscal year 2000, an increase of nearly 100%. VOD revenue in the fourth quarter of fiscal 2001 increased to $6.2 million from $5.0 million in the fourth quarter of fiscal 2000, an increase of almost 23%. VOD revenue in the second-half of fiscal 2001 was over double the revenue achieved in the first-half of fiscal 2001. Revenue from the Company's Real-Time Division aggregated over $49 million in fiscal 2001 compared to $56.1 million in fiscal 2000, a decrease of 12.7%. In the fourth quarter of fiscal 2001, revenue from the Real-Time Division totaled $13.7 million compared to $13.4 million in the same quarter of the prior year, an increase of 2%. Paul Meyer, president of the Real-Time Division, stated, "We are very pleased with our consistent revenue levels in the last three quarters. Our better-than-anticipated performance was supported by our advanced test stand project with Hamilton Sundstrand, which was completed on time and on budget, a major order from AAI in support of their C-17 trainer program, and the very successful launch of our 3200-2000 upgrade board. We are also excited about our Linux(R) development initiative and will offer a real-time, symmetric multiprocessing operating system, integrated with our leading edge tool set next year." Total revenue for fiscal 2001 aggregated $72.8 million, an increase of 6.9% over fiscal 2000 revenue of $68.1 million. This represents the first time since fiscal 1997 that Concurrent has experienced year-over-year revenue growth. Total revenue aggregated $19.9 million in the fourth quarter ended June 30, 2001, compared to $18.5 million in the fourth quarter ended June 30, 2000, an increase of 7.8%. The Company's gross margin on sales of VOD systems grew to 45% in the fourth quarter of fiscal 2001 and for all of fiscal year 2001 compared to 40% in the fourth quarter of last year and 35% for all of fiscal year 2000, largely due to the lower product costs associated with the new MediaHawk(TM) Model 2000 Video Server solution and improved economies of scale. The Company's real-time systems gross margin decreased to 42% in the fourth quarter of fiscal 2001 and 45% for the current fiscal year primarily due to the lower margin realized on the $5 million contract with Hamilton Sundstrand, which required integration of third-party equipment and service and support resources at lower gross margins to capture the business. The Company's loss from operations in fiscal 2001 was $5.6 million compared to $24.0 million in the prior year and in the fourth quarter of fiscal 2001 was only $0.7 million compared to $1.9 million in the fourth quarter of the prior year. The decreased loss is the result of the improved performance of both of the Company's operating divisions. The net loss for the fourth quarter of fiscal 2001 and the year ended June 30, 2001, was $0.8 million or ($.01) per share and $6.2 million or ($.11) per share, respectively, compared to $1.9 million or ($.04) per share and $23.7 million or ($.46) per share for the fourth quarter and the fiscal year ended June 30, 2000, respectively. "We exceeded our primary goal for fiscal year 2001, which was to build upon our position as the pioneer and leader in VOD," commented Jack Bryant, president and chief executive officer. "Concurrent has 18 commercial VOD market commitments with AOL Time Warner, Cox, Comcast, and Cogeco. These systems provide cable television service to over 5.7 million basic subscribers and will be providing commercial VOD service to a growing base of over 1 million digital subscribers. In addition to the industry's first commercial VOD deployment in Hawaii and the world's largest VOD deployment in Tampa Bay, we added to our growing list of `industry firsts' this year. We successfully tested our Personal Video Channel (pVC(TM)) application last fall with AOL Time Warner in Hawaii by offering, for the first time, time-shifted pay-per-view boxing events through our VOD server infrastructure and real-time encoding technology. We also have deployed one of the very first VOD applications over a VDSL network with VOD Pty/Transact in Australia and participated in the industry's first subscription VOD trial with HBO On Demand and AOL Time Warner in Columbia, South Carolina. We are very pleased with the energy and momentum surrounding subscription VOD and are active in several trials with multiple cable operators on both the Scientific-Atlanta and Motorola digital set-top platforms." For more information visit www.ccur.com