KALAMAZOO ? Manatron, a government software development company, posted net income of $22,184 for the second quarter, down sharply from the $158,852 earned in the same three months a year ago.
Net revenues, however, increased 3.7 percent to $9.3 million from $9 million in the second quarter of last year.
“The decisions to sell the Financial and Judicial product lines to focus solely on our core tax and appraisal business, as well as the decision to focus on value-added software and solutions instead of reselling commodity items, continue to negatively impact revenues in the short-term,” said Paul Sylvester, Manatron President and Chief Executive Officer.
“The sale of these product lines did result in substantial one-time gains that significantly benefited our six-month results for both fiscal years,?? he said. ?Furthermore, if you exclude the revenues related to these divestitures and the hardware and third-party software sales from both years, our pro forma net revenues for the three and six-month periods increased by 11.8 percent and 9.9 percent versus the respective periods in the prior fiscal year.”
Sylvester said despite the improvements in software license fees and related professional service revenues for the second quarter, Manatron?s net revenues for both the quarter and the first half of this fiscal year were below expectations. But he said the company believes revenues for the second half of the current fiscal year will be higher than the first half.
