Progress Software announces Q4 2009 results

On a generally accepted accounting principles (GAAP) basis, revenue for the quarter was $136.8 million, down two percent (five percent at constant currency) from $139.4 million in the fourth quarter of fiscal 2008. Software license revenue decreased seven percent (10 percent at constant currency) to $52.0 million from $56.1 million in the same quarter last year. Operating income was up 202 percent to $25.8 million from $8.5 million in the fourth quarter of fiscal 2008, while net income jumped 158 percent to $16.7 million from $6.5 million in the same quarter last year. Diluted earnings per share increased 150 percent to 40 cents from 16 cents in the fourth quarter of fiscal 2008.

For the twelve months ended November 30, 2009, GAAP revenue decreased 4 percent (up 1 percent at constant currency) to $494.1 million from $515.6 million in fiscal 2008. GAAP operating income decreased 21 percent to $51.1 million from $64.4 million in fiscal 2008. Net income decreased 29 percent to $32.8 million from $46.3 million in fiscal 2008 and diluted earnings per share decreased 26 percent to 80 cents from $1.08 in fiscal 2008.

In a statement, Richard D. Reidy, president and chief executive officer of Progress Software, said: "We exceeded our guidance for both revenue and earnings in our fiscal fourth quarter as a result of excellent customer wins along with well-managed expense management, despite the difficult economic environment. The Progress Apama and Actional product lines achieved double- and triple-digit growth respectively in the fiscal fourth quarter. Furthermore, we expect our newer product lines to continue on their significant growth path in 2010 achieving a greater than 20 percent increase in revenue; we also anticipate strong earnings overall for the year."

Progress software also provided guidance on its business outlook. for the fiscal year ending November 30, 2010, it expected revenue to be in the range of $520 million to $530 million, with GAAP diluted earnings per share are expected to be in the range of $1.00 to $1.25. For the first fiscal quarter ending February 28, 2010, it expects revenue to be in the range of $123 million to $126 million, and GAAP diluted earnings per share are expected to be in the range of a loss of 18 cents to breakeven.

Shares of the company were reported up 7%, trading at $27.66 earlier today.