Our first year as a public company was an exciting one of growth and development for OneSource. We continued to build on OneSource's reputation as an industry standard for professionals who use Web-based business information by executing on our business model and strategy. During 1999, we broadened our customer base, expanded our content offerings and completed our first acquisition.
Not only did we increase our total revenue by 17 percent over the
previous year to $35.5 million, Web-based revenue soared by
98 percent reflecting OneSource's ability to take advantage of
emerging technology trends. In addition, a particularly strong
indicator of the demand for our products can be seen in the
49 percent increase in annualized contract value for 1999.
This past year was marked by a number of exciting milestones.
We highlighted our second quarter by successfully starting
a new chapter for OneSource as a public entity, and are excited by the increased resources and visibility that this new form of ownership provides us.
In the third quarter of 1999, we acquired Corporate Technology Information Services, Inc. (CorpTech), a provider of high technology company profiles with a special focus on emerging private companies. This strategic investment is an important first for OneSource – giving us the capability to develop our own information content that we can offer both to our customers and to other complementary Web-based information providers.
The prestigious Dun & Bradstreet joined OneSource's winning team of over 25 content partners during the year. This gives us a powerful ally in the development of a whole new range of customer-driven products, particularly in Europe.
This year, OneSource acquired a record 225 new customers, ending the year with an impressive client base of 583 accounts, representing over 160,000 individual users. Key to our success in building and retaining our customer base is our ability to respond to what our customers demand and anticipate what they will need. We improved upon our leading-edge technology and comprehensive content offerings during 1999 by launching significant product enhancements and initiatives, such as:
- Custom Alerts allows customers to receive automatic notification of their choice of the latest news in a
single, daily e-mail. Busy professionals are able to track specific companies and topics, and keep up-to-date
on competitors, acquisition targets, products and industries.
- Canadian Content Enhancements added information on thousands of public and private Canadian companies through the addition of two content providers, the Financial Post, a leading provider of quality standardized financial data and The Globe and Mail, a major source of public and private company data.
- Global Business Browser – European Edition is the latest addition to the Business Browser product
line, providing the European market with one integrated database of both regional and global content.
This product offers a global perspective for European business professionals.
- OneSource's eRM Program delivers our top-quality information seamlessly into leading vendors' customer relationship management applications. This helps clients efficiently manage their external and internal
information on companies and prospects in one Web application.
OneSource's achievements in 1999 underscore the opportunities that we see for the company as well as set the stage for success in 2000. Looking forward, we will continue to focus on our key strategic priorities, which include expanding our customer base, enhancing our product offerings and targeting key alliances and acquisitions. Our initiative to develop new offerings from the foundation of the CorpTech acquisition creates a very exciting new market opportunity.
Our business model and strategy give us what we need to succeed in our marketplace – the ability to respond not only to what our customers demand, but to anticipate what they will need. Our customers have asked for one site for comprehensive information, one click to easily access business information, and the empowering ability for one single person to accomplish previously insurmountable tasks. Responding to the needs of our customers is the central element of our growth strategy.
I would like to take this opportunity to acknowledge all of OneSource's dedicated employees who have contributed so much in 1999. I would also like to express my appreciation to our customers, who continually provide valuable feedback on how to make OneSource an even more powerful – and increasingly essential – business information tool. Finally, I would like to thank our loyal shareholders who share our vision of what OneSource can accomplish in an era where actionable, comprehensive and instantaneous information is critical to business success.
Sincerely,
Daniel J. Schimmel
President and Chief Executive Officer
OneSource Information Services, Inc.
