Didi Arazi, (47), chairman of Nice, chose a good time to announce his upcoming departure from the company he founded twelve years ago with Benny Levin,. Mordechai Golan, Avraham Lazar, and Yoav Avtalion. Nice published its Q4 results today showing a 19% increase in sales to $22.2 million, and a net profit of $4.6 million, a little higher than analysts’ forecasts.
Arazi will cease to be an active chairman at the end of ’98, but will continue to be a director, leaving in the hands of his partners a company with an annual turnover exceeding $100 million, and a net profit that is likely to reach $25 million this year. This is provided Nice’s rate of growth continues over the next quarters.
"A time comes when a man has took look after his house and family", Arazi said today. "Apart from which I think it is right and beneficial that a company changes its managers from time to time in order to refresh the ranks, and give a new generation of managers the chance to develop and contribute".
’97 was a good year for Nice, and an important one. The company made a second share issue in the US, raising $105 million at $34.5 per share. The price of Nice shares continued rising after the flotation, and are traded at $45 today, having peaked at $60.
In ’97, Nice completed the acquisition of the Canadian company DEES in a combined cash and shares deal for a total of $21 million. This deal caused Nice to post a one time expense of $16 million in Q3, so that it ended ’97 with a net loss of $3.2 million.
Nice’s ’97 revenue came to $69.3 million, a 73% increase compared to ’96 revenues. Nice’s net profit after discounting the one time allowance, came to $13 million, an increase of 150% compared to the previous year.
Nice’s aim in acquiring DEES was to complete the NiceLog line of digital voice monitors for telephone support of Call Centers. DEES products are designed for quality control of the work of staff operating the Call Centers.
Apart from this market, Nice sells its NiceLog line to two other principal sectors, the financial sector, and the airport sector.
Published by Israel's Business Arena February 25, 1998