Sybase 1Q profit climbs; co. lifts year outlook
Business software and services company Sybase Inc. said Thursday that its first-quarter profit climbed 42 percent due to greater license and service revenue.
Sybase's profit rose to $39.9 million, or 45 cents per share, from $28.1 million, or 33 cents per share, in the same period last year.
Excluding an income tax gain and one-time costs such as amortization of assets, stock-based compensation, and interest expense, the company earned 60 cents per share.
Revenue rose 10 percent to $294 million from $267.5 million a year ago.
Analysts had forecast a profit of 56 cents per share and revenue of $291.9 million, according to a Thomson Reuters survey. Analyst estimates typically exclude one-time items.
The company said its service revenue grew 5 percent to $142.4 million, while license fee revenue increased 10 percent to $98.6 million and messaging revenue rose 23 percent to $53 million.
Sybase raised its profit and revenue estimates for the year. It now expects to earn about $2.63 per share excluding items, up from a prior estimate of $2.59 per share. The company backed its forecast for $1.23 billion in revenue.
Analysts predict profit of $2.63 per share and $1.24 billion in revenue.
For the second quarter, Sybase forecast adjusted profit of 60 cents to 62 cents per share on $290 million to $300 million in revenue. Analysts predict profit of 61 cents per share and revenue of $300 million.
Sybase stock lost $1.85, or 3.9 percent, to $45.25 in afternoon trading. The stock has ranged from $29.60 to $48.20 over the past year.