Menu
Inprise forecasts up to 22 cent Q2 loss

Inprise forecasts up to 22 cent Q2 loss

Inprise last week cited recent management changes as contributing to an expected pre-tax loss of between 17 and 22 US cents per share for the second quarter, based on preliminary figures.

That loss and a projected $US38 million to $US41 million in revenue for the quarter do not include a one-time licence fee from Microsoft of $US100 million, the company said in a statement. In June, Microsoft agreed to license technology patents of the ailing development-tools maker and to buy a 10 per cent stake of the company for $US25 million.

The company's fiscal second quarter ended on June 30. Actual results will be reported on July 26.

Analysts polled by First Call predicted before Friday's announcement that Inprise would report a second-quarter loss of 12 cents per share.

For the second quarter a year ago, Inprise reported earnings of $US1.9 million, or 3 cents per share, on revenue of $US46.5 million. In the first quarter of fiscal 1999, Inprise reported a $US10.4 million loss, or 22 cents per share, on revenue of $US43.4 million, excluding one-time charges.

"Revenues were impacted by longer than anticipated sales cycles of our core products," Dale Fuller, interim president and chief executive officer, said in the statement. "We believe that this was caused by the changes in management early in the quarter."

In April, Inprise announced that its board had asked Del Yocam to step down as head of the company and that Fuller would replace him. In June, Inprise announced that it was putting on hold a plan by Yocam to split the company into two separate companies -- Inprise and borland.com, a plan first announced in January.

"Management is committed to making targeted cost reductions and strategic investments with a focus on continuing to support our customers and increasing shareholder value," Fuller said.http://www.inprise.com


Follow Us

Join the newsletter!

Error: Please check your email address.
Show Comments