Billing software developer Amdocs Ltd. (NYSE: DOX) reported financial results for its fiscal second quarter which were slightly higher than analyst estimates.
Revenue in the second quarter, which ended March 31, 2009, was $711.1 million, a decrease of 8.2% from the corresponding quarter of last year, when revenue reached $774.28. The figure was in line with analyst estimates of $698-717 million.
Net profit on a non-GAAP basis was $104.9 million, or $0.50 per diluted share, compared to non-GAAP net profit of $126.6 million, or $0.58 per diluted share, in the second quarter of fiscal 2008. The profit beat the average analyst estimate of $0.49, and it was within the expected range of $0.47-0.53 per share.
Amdocs said that its non-GAAP net profit excludes amortization of purchased intangible assets and equity-based compensation expenses of $24.2 million, net of related tax effects.
Net profit based on generally accepted accounting principles (GAAP)for the second quarter of fiscal 2009 was $80.6 million, or $0.39 per diluted share, compared to GAAP net profit of $99.9 million, or $0.46 per diluted share, in the corresponding quarter.
Amdocs CEO Dov Baharav warned that results would continue to be hit by the recession, though guidance was in line with previous estimates. Baharav said that in the third fiscal quarter, "Amdocs expects that revenue will be approximately $670-$690 million as we anticipate on-going weakness in the economic environment. We are managing our expenses under the assumption that revenue for the year could be down 10%-12% relative to fiscal year 2008, with foreign currency effects contributing roughly 3% of the decline. While we cannot yet provide a precise range for our fourth quarter revenue expectations, at this time we believe that fourth quarter revenue is likely to decline sequentially from third quarter levels."
Shares in Amdocs closed down 0.41% yesterday at $19.37, giving a market cap of $3.94 billion.
Published by Globes [online], Israel business news - www.globes-online.com - on April 23, 2009
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