HOBOKEN, N.J.--(BUSINESS WIRE)--NICE (NASDAQ: NICE) today announced results for the first quarter ended March 31, 2020.

“We are pleased to report strong first quarter results driven by an accelerated 27% growth in cloud revenue. We also delivered double-digit growth in operating income and earnings per share with further expansion of our operating margin,” said Barak Eilam, CEO NICE. “In light of the current environment, these strong results demonstrate the mission critical nature of our solutions and the strength of our cloud business driven by our three market leading cloud platforms, CXone for Customer Experience, X-Sight for Financial Crime and Compliance, and NICE Investigate for Public Safety.”

Mr. Eilam continued, “At the onset of COVID-19, we took immediate action, responding with solutions to provide customers the help they needed to quickly overcome the challenges they faced in this new environment, specifically their ability to move rapidly to the cloud and transform to digital. In fact, we signed up dozens of customers with thousands of agents for our CXone@home offering aimed at helping these customers shift their agents to work from home. I am pleased to see that we have witnessed great response to our offerings across all our business segments that provided the agility these organizations needed.

“At the same time, these organizations are preparing for the next phase - the transformation to cloud and digital. Furthermore, their ability to respond very rapidly in the last few months and manage changes that they thought would take years instead of days is giving them confidence that they have the ability to transform quickly. While we are faced with some unpredictability in the short term due to the economic environment, we continue to experience strong growth in our cloud business. As the clear leader in both cloud and digital in our markets, along with a strong balance sheet, strong cash generation and a keen focus on execution and profitability, we are clearly in the best competitive position to provide the platforms that these organizations need to transform their operations.”

GAAP Financial Highlights for the First Quarter Ended March 31:

Revenues: First quarter 2020 total revenues increased 8.9% to $410.4 million compared to $377.0 million for the first quarter of 2019.

Gross Profit: First quarter 2020 gross profit and gross margin increased to $270.3 million and 65.9%, respectively, compared to $246.0 million and 65.2%, respectively, for the first quarter of 2019.

Operating Income: First quarter 2020 operating income and operating margin increased to $58.8 million and 14.3%, respectively, compared to $51.9 million and 13.8%, respectively, for the first quarter of 2019.

Net Income: First quarter 2020 net income and net income margin increased to $46.1 million and 11.2%, respectively, compared to $37.1 million and 9.8%, respectively, for the first quarter of 2019.

Fully Diluted Earnings Per Share: Fully diluted earnings per share for the First quarter of 2020 increased 22.4% to $0.71, compared to $0.58 in the first quarter of 2019.

Operating Cash Flow and Cash Balance: First quarter 2020 operating cash flow was $154.8 million. In the first quarter, $24.1 million was used for share repurchases. As of March 31, 2020, total cash and cash equivalents, short and long term investments were $1,035.4 million, and total debt was $467.2 million.

Non-GAAP Financial Highlights for the First Quarter Ended March 31:

Revenues: First quarter 2020 Non-GAAP total revenues increased 8.8% to $411.2 million compared to $377.9 million for the first quarter of 2019.

Gross Profit: First quarter 2020 Non-GAAP gross profit and gross margin increased to $291.6 million and 70.9%, respectively, compared to $266.5 million and 70.5%, respectively, for the first quarter of 2019.

Operating Income: First quarter 2020 Non-GAAP operating income and Non-GAAP operating margin increased to $110.5 million and 26.9%, respectively, compared to $97.0 million and 25.7%, respectively, for the first quarter of 2019.

Net Income: First quarter 2020 Non-GAAP net income and Non-GAAP net income margin increased to $87.9 million and 21.4%, respectively, from $75.5 million and 20.0%, respectively, for the first quarter of 2019.

Fully Diluted Earnings Per Share: First quarter 2020 Non-GAAP fully diluted earnings per share increased 13.6% to $1.34, compared to $1.18 for the first quarter of 2019.

Second Quarter and Full Year 2020 Guidance:

NICE’s guidance is based on current market conditions and expectations. The guidance is subject to various cautionary factors referenced in the section entitled "Forward-Looking Statements" below, including risks and uncertainties associated with the COVID-19 pandemic.

Second Quarter 2020: Second quarter 2020 Non-GAAP total revenues are expected to be in a range of $387 million to $397 million. Second quarter 2020 Non-GAAP fully diluted earnings per share are expected to be in a range of $1.28 to $1.38.

Given uncertainties related to the COVID-19 pandemic and the rapidly changing global economic environment, the company is withdrawing its previously issued full-year 2020 guidance provided February 13, 2020.

About NICE

NICE (Nasdaq: NICE) is the worldwide leading provider of both cloud and on-premises enterprise software solutions that empower organizations to make smarter decisions based on advanced analytics of structured and unstructured data. NICE helps organizations of all sizes deliver better customer service, ensure compliance, combat fraud and safeguard citizens. Over 25,000 organizations in more than 150 countries, including over 85 of the Fortune 100 companies, are using NICE solutions. www.nice.com.