DETROIT – Compuware Corporation, bolstered by a 22.7 percent increase in software license fees, reported third quarter profits of 11 cents a share, some 5 cents better than Wall Street estimates.
For the three months ended Dec. 31, Compuware reported revenues of $330.5 million, compared to $318.2 million in the previous year. Net income was $41.7 million compared to $21.8 million in the same quarter of fiscal 2004.
“This is more like it,” said Compuware Chairman and CEO Peter Karmanos, Jr. “These results confirm the confidence of Compuware’s management in the company’s ability to deliver sound third and fourth quarter results in fiscal 2005. I’m glad that the company is again moving in the right direction and look forward to a solid fourth quarter.”
During the company’s third quarter, software license fees were $99 million, compared to $80.7 million in the same quarter of the previous year. Maintenance fees were $108.7 million, compared to $102.9 million. But revenue from professional services plunged to $122.9 million, compared to $134.6 million in the same quarter last year.
A Thomson First Call analyst survey had expected the company to earn 6 cents a share on revenue of $319.7 million.
Shares of Compuware, Michigan?s largest pure technology company, moved nearly 15 percent higher to $6.50 in after-hours trading.
