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Zix Corporation Reports Highest Revenue Quarter as Company Announces First Quarter 2009 Financial Results
Date:4/28/2009

Email Encryption business continues to drive performance for Company

DALLAS, April 28 /PRNewswire-FirstCall/ -- Zix Corporation (ZixCorp(R)), (Nasdaq: ZIXI), the leader in hosted services for email encryption and payor-sponsored e-prescribing, today announced financial results for the first quarter ended March 31, 2009. ZixCorp recorded first quarter revenues of $7.3 million and a GAAP net loss of $1.5 million for the quarter, or $0.02 per share, compared with revenues of $7.2 million, and a GAAP net loss of $1.7 million, or $0.03 per share, in the corresponding quarter in 2008. Adjusted net loss was $0.7 million, or $0.01 per share, compared with an adjusted net loss of $1.0 million, or $0.02 per share, in the corresponding quarter in 2008.

"I am pleased that, in this current economic environment, ZixCorp was able to record its highest revenue quarter ever, driven by the 18 percent year-on-year revenue growth in our Email Encryption business," said Rick Spurr, chairman of the board and chief executive officer. "We believe compliance will continue to drive demand for our Email Encryption services, whether because of our ability to conform to European standards through our newly-opened UK data center or the expansion of entities covered by HIPAA under the recently-enacted federal stimulus package. In fact, our recently-announced new partnership with Webroot provides further evidence of the growing demand for email encryption services. Our market leadership, superior SaaS architecture, and the largest shared directory of email addresses in the industry, with our management of encryption keys 'in the cloud,' indicate our Email Encryption business remains well-positioned for continued growth. In our PocketScript business, we continue to pursue larger payor contracts while we deploy new deals that were secured in the last two quart
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