PeopleSoft Q1 comes up slightly short

PeopleSoft on Thursday turned in first-quarter results topping its own guidance but falling slightly short of analyst expectations, as it reported revenue of US$643.1 million and net income of US$24.2 million.

PeopleSoft's revenue in the quarter ended March 31 increased from last year's US$460.3 million first-quarter total, but 2003's numbers do not include revenue from J.D. Edwards, which PeopleSoft acquired in July. As in past quarters, PeopleSoft declined to provide a reconciliation showing what last year's first-quarter numbers would have been with J.D. Edwards' financials included.

Excluding charges related to that acquisition, PeopleSoft's net income would have been US$62 million, or US$0.17 per share. The consensus estimate of analysts polled by Thomson First Call was for per-share earnings of US$0.18, excluding acquisition costs.

PeopleSoft's revenue also fell short of the US$645.8 million mean consensus forecast calculated by Thomson First Call.

PeopleSoft Chief Executive Officer Craig Conway said in a prepared statement that PeopleSoft is meeting its growth expectations. He referred obliquely to Oracle Corp.'s still-ongoing bid for a US$9.4 billion hostile takeover of PeopleSoft. "With most of the extraordinary distractions now behind us, we can return our full attention to our business," Conway said his written remarks.