Opsware Reports Results

SUNNYVALE, Calif. -- Opsware Inc. (NASDAQ:OPSW), the leading provider of Data Center Automation software, today reported results for its first quarter ended April 30, 2007.

Opsware Inc.s net revenue for its first quarter ended April 30, 2007 totaled $28.3 million, up 29% from the same quarter last year and exceeding the company’s previously guided range.

Non-EDS revenue totaled $23.1 million in the first quarter, a 38% increase over the same quarter last year.

Non-EDS derived bookings (which equals net revenue, plus the sequential change in deferred revenue and advances from customers, all excluding the impact of EDS) totaled $20.5 million in the first quarter, up 38% from the same quarter last year.

Non-GAAP net loss in the first quarter was $(1.4) million or $(0.01) per share, meeting the company’s guidance.GAAP net loss in the first quarter was $(10.6) million or $(0.10) per share. Non-GAAP net loss in the first quarter excludes non-cash charges of approximately $3.7 million relating to previous acquisitions and $5.5 million of non-cash stock-based compensation. A reconciliation between net loss on GAAP and non-GAAP bases is provided in a table immediately following the Condensed Consolidated Statements of Operations attached to this release.

Cash flow from operations in the first quarter was $3.3 million.

“We are starting the year strong and I am pleased with our performance in Q1,” said Ben Horowitz, president and CEO of Opsware Inc. “Opsware continues to benefit from the predominant trends in enterprise software: virtualization, Linux, and services oriented architectures. The complexity of adopting these technologies creates strong demand for our data center automation suite. Our pipeline is up 50% from this time last quarter and we are on track to grow bookings by 60% this year.”

Opsware Inc.