* Third-quarter adj earnings $0.31/share vs est $0.24
* Third-quarter rev $107.2 mln vs est $112.3 mln
* Said it cut 100 jobs in third quarter
* Sees fourth-quarter core rev down 2 pct to up 1 pct
* Shares up 5 pct after market
Sept 26 Database management software maker
Progress Software Corp reported a higher-than-expected
third-quarter profit helped by cost cuts, but forecast weak
growth in the current quarter.
The company forecast core revenue to be down 2 percent from
the year-earlier period to up 1 percent on a constant currency
"As is true in the broader macro environment for software
companies ... there are economic headwinds that are slowing the
achievement of business results," Chief Executive Jay Bhatt said
on a conference call.
Rival Tibco Software Inc reported
lower-than-expected revenue last week and forecast
fourth-quarter results below estimates on currency headwinds
hitting revenue from its services segment.
Progress Software, which cut 100 jobs to end the third
quarter with 1500 employees, said it expects to lay off more
people with the sale of its non-core businesses.
The company said on April 25 that it would divest a number
of its non-core product lines and reduce 10 to 15 percent of its
Operating costs fell 15 percent to $73 million in the third
Net income from continuing operations fell to $5.8 million,
or 12 cents per share, from $9.1 million, or 14 cents per
share, a year earlier.
Excluding items, the company earned 31 cents per share from
Revenue fell 14 percent to $107.2 million.
Analysts had expected earnings of 24 cents per share on
revenue of $112.3 million, according to Thomson Reuters I/B/E/S.
Shares of the Bedford, Massachusetts-based company rose 5
percent in after market trading on Wednesday. It closed at
$19.16 on the Nasdaq.