Los Angeles-based MSC.Software Corp. hasn’t even moved into its new Santa Ana headquarters yet but the software developer already is expanding.
MSC plans to occupy an entire building,instead of just several floors,at the Twin Towers nearing completion by Santa Ana-based Nexus Development Corp. The company also could augment its ranks by 20% this year, according to an MSC spokeswoman.
The designer of simulation software for Boeing Co. and Airbus Industrie had planned to occupy seven floors in a nine-story building, itself part of a two-building complex totaling 410,640 square feet. But now MSC plans to occupy all nine floors totaling 200,000 square feet. The company plans to consolidate its Costa Mesa facility, where it has 300 employees, with the new facility in coming months. MSC also plans to relocate about 25 people from Los Angeles.
“It’s a natural expansion of the business,” said company spokeswoman Joanne Keates. “We were given a choice by the developer. They said they were ready to sublease the space and we decided we wanted to lease it.”
MSC also designs software for Ford Motor Co., DuPont, Eastman-Kodak Co. and Motorola Inc. The company’s software is used to automate product design and manufacturing. Among the company’s rivals are France’s Dassault Systemes SA, Waltham Mass.-based Parametric Technology Corp. and Maryland Heights, Mo.-based Unigraphics Solutions Inc.
Last week, MSC struck a pact with Dassault Systemes to jointly develop new products, a deal that MSC expects will expand its business this year.
“The strategic alliance with Dassault Systemes will increase MSC.Software’s growth potential,” said MSC Chief Executive Frank Perna in a statement. “This important event clearly serves to strengthen our business portfolio and broaden our reach into new markets. It is with much confidence that we look to the future.”
MSC already is growing. For the first quarter, MSC saw sales increase 13% to $44.7 million while profits jumped 40% to $1.4 million. In the past two quarters, MSC reported 390 new customers, including NASA, General Electric Co. and Lockheed Martin Corp. Moreover, the company said it expects 25% to 30% earnings growth this year, a more bullish forecast than those of other technology companies. That’s made MSC a darling in a down market: shares have more than doubled since January. MSC counted a market value of $205 million as of last week. n
