(Corrects to Wednesday, last paragraph)
(Recasts; adds details)
Sept 24 Red Hat Inc (RHT.N), the world's
largest publicly traded provider of Linux software, posted a
quarterly profit that beat Wall Street targets, helped by
strong growth in its subscriptions business.
Net income for the second quarter rose to $22 million, or
10 cents a share, from $19.1 million, or 9 cents a share, in
the year-ago quarter. Excluding special items, earnings were 20
cents a share.
Revenue rose 29 percent to $164.4 million, which exceeded
Red Hat's own forecast of $162 million to $164 million. Revenue
from subscriptions, by far its biggest division, rose 19.5
Analysts on an average were looking for earnings of 18
cents a share, excluding special items, on revenue of $163.6
million, according to Reuters Estimates.
Red Hat's version of Linux for server computers, which is
it's best-selling product, competes with Microsoft Corp's
(MSFT.O) Windows software and Unix software from
Hewlett-Packard Co (HPQ.N) and International Business Machines
Shares of Raleigh, North Carolina-based Red Hat closed at
$17.90 Wednesday on the New York Stock Exchange.
(Reporting by Shrutika Verma in Bangalore; Editing by Pratish