DETROIT – Compuware Corp. reported on Thursday after the markets closed that its quarterly results were in line with its previously-announced lowered forecast the reason why? New software license sales failed to meet expectations.
The business software company posted net income for its first fiscal quarter ended June 30 of $644,000, or break-even on a per share basis, compared with net income of $2.6 million, or 1 cent per share, a year ago. Total revenue dropped 6 percent to $287.1 million from $306 million, hurt by a 13 percent decline in professional services fees to $129.5 million and a 2 percent drop in software sales to $54.1 million. Maintenance fees, however, rose a slight 2 percent to $103.5 million.
Analysts had forecasted beak-even earnings per share on revenue of $286 million, according to Thomson First Call.
Shares of Compuware fell 2.6 percent, or 13 cents, to $4.90 in after-hours trading, after closing at $5.03, up 3.5 percent, or 17 cents, during regular-session trading on the Nasdaq National Stock Market.
“Compuware’s first quarter miss was almost entirely based on a shortfall in new license deals in the final month of the quarter,” said Compuware Chairman and CEO Peter Karmanos, Jr. “I am absolutely committed to doing everything necessary to meet Compuware targets for this fiscal year.”
