Saba Software fiscal 3rd-quarter profit falls as expenses climbBy AP
Thursday, March 25, 2010
Saba Software fiscal 3rd-quarter profit declines
REDWOOD SHORES, Calif. — Employee management software company Saba Software Inc. said Thursday that its fiscal third-quarter profit fell as increased sales and marketing expenses overshadowed a small increase in revenue.
For the quarter that ended Feb. 28, Saba earned $430,000, or a penny per share. This compares with a profit of $1.3 million, or 5 cents per share, in the same quarter a year earlier.
On an adjusted basis, the company’s profit totaled 7 cents per share.
Revenue inched up 2 percent to $26.7 million, due to growth in subscription and license revenue.
Operating expenses also climbed, rising 15 percent to $16.5 million. Most of this stemmed from an increase in sales and marketing expenses, which increased 35 percent to $7.7 million.
The company said it now expects a profit of 8 cents to 11 cents per share for the fiscal year, compared with an earlier outlook for 7 cents to 11 cents per share. Adjusted earnings per share are pegged at 28 cents to 30 cents.
Tags: California, North America, Redwood Shores, United States