Digital River 2006 Annual Report Download - page 3

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To Digital River’s Shareholders:
It’s my pleasure to report on the
progress Digital River made during
2006 and the opportunities we have
before us as we move through 2007
and beyond. We have established a leadership
position as a provider of global e-commerce
solutions for the software and consumer
technology markets. That leadership position was
reflected in our strong
2006 financial results,
which saw revenues
grow 40 percent to
$307.6 million. Cash
flow from operations
was $117.6 million and
we ended 2006 with
more than $625 million
in cash and investments.
During 2006, we
executed on a key
strategic objective by
opening a new operations center in Ireland,
which will serve as the financial and operational
center for much of our non-U.S. business. Today
our commerce systems, which are supported by
six data centers across three continents, display
in 18 languages and transact in 27
currencies. We answer the phone
in 11 languages 24X7 and have
third-party fulfillment agencies on
four continents.
What are some of the key factors
that have contributed to the
success of Digital River? Our clients
come to us because we can help
them grow their businesses by
giving them access to a global
base of customers while helping
them manage the risks of doing
Founded in 1994, Digital River, Inc., is a leading
provider of global e-commerce solutions. Our client
base includes more than 40,000 leading software
publishers, manufacturers, distributors, online
retailers and affiliates from around the world. Our
multi-channel e-commerce solution is designed
to help companies of all sizes maximize revenues
as well as reduce the costs and risks of running
an online business. Our comprehensive
platform offers site development
and hosting, order management,
fraud prevention, export controls, tax
management, physical and digital
product fulfillment, multi-lingual customer service,
strategic e-marketing services and advanced
reporting. Digital River is headquartered in
Minneapolis with offices in major U.S. cities as well
as Germany, England, Luxembourg, Ireland, Taiwan
and Japan.
about Digital River
letter to the shareholders