Three Months Ended
		March 31,		March 31,
		1999		1998
License revenue		$7,483		$8,887
Service revenue		5,463		3,732
Total revenues		12,946		12,619
Cost of license revenue		525		645
Cost of service revenue		3,111		1,964
Gross margin		9,310		10,010
Operating expenses:
Selling and marketing		5,509		6,594
Research and development		2,313		2,293
General and administrative		1,089		1,093
Total operating expenses		8,911		9,980
Operating income (loss)		399		30
Interest income (net)		227		272
Net income (loss) before income taxes		626		302
Provision for (benefit from) income taxes		231		112
Net income (loss)		$395		$190
Basic earnings (loss) per share		$0.04		$0.02
Diluted earnings (loss) per share		$0.04		$0.02
Weighted average common and common     equivalent shares outstanding:
Basic		10,439		10,117
Diluted		11,111		10,984
Balance Sheet Highlights:		March 31, 1999		December 31, 1998
(in thousands)
Cash, Cash Equivalents and Short-term Investments		$22,406		$21,445
Total Current Assets		41,374		40,904
Total Assets		45,956		45,613
Total Liabilities		15,386		16,038
Shareholders' Equity		30,570		29,575

About Applix, Inc.

Applix, Inc. (NASDAQ:APLX), headquartered in Westboro, Mass., develops, markets and supports web-based, front office business solutions, which allow organizations to improve decision-making and corporate productivity. The Front Office Business Solutions include the Applix iCustomer.Advantage suite of thin-client Customer Relationship Management (CRM) and real-time Business Intelligence applications: Applix iEnterprise, Applix iHelpDesk and Applix iTM1. In addition to its Front Office Business Solutions, Applix also provides a set of Decision Support applications, consisting of Applixware and Applix Anyware products. The Company's products are available on a variety of software platforms, including Windows, Windows NT, UNIX and Linux environments. More information can be found at www.applix.com and linux.applixware.com.

Notes to Investors

This press release contains certain forward-looking statements that involve a number of risks and uncertainties that could cause actual results to differ materially. Specifically, comments related to the demand for, revenue from and acceptance of the Company's products and the Company's position in the markets, may be considered forward-looking and subject to a number of risks and uncertainties, including but not limited to: the rate of growth in market demand for the products; the acceptance of the Company's products; intense competitive conditions; rapid technological change; frequent new product introductions and evolving domestic and international standards which may render existing products and services obsolete. Refer to the Form 10-K for the year ended 1997 for a list of factors as discussed under "Risk Factors ".

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