Israeli business software solutions company NICE Systems Ltd. (Nasdaq: NICE; TASE: NICE) beat the analysts on strong results for the second quarter of 2020.
NICE Systems reported revenue of $392 million, up 3.6% from the corresponding quarter of 2019, and above the analysts' forecast of $392 million. GAAP net profit was $44.80 million compared with $42.1 million in the corresponding quarter of 2019. Non-GAAP net profit was $89.90 million ($1.37 per share), up 11% from the corresponding quarter of 2019, and earning per share was $0.05 above the analysts' forecast.
The company's share price is up 10.94% in premarket trading on Nasdaq at $232.22. Yesterday NICE's share price closed up 0.62% at $209.32, giving a market cap of $13.084 billion. The company's share price has risen 35% since the start of 2020.
NICE Systems specializes in telephone voice recording, data security and surveillance and analyzing recorded data. During the Covid-19 crisis the company has seen strong growth in its cloud data and security sector and NICE has also introduced new products to enhance remote working for enterprises.
Due to economic uncertainty during the Covid-19 pandemic, NICE has only provided guidance for the third quarter of 2020. The company sees revenue of $403-413 million and NON-Gaap earning per share of $1.33-$1.43.
NICE Systems CEO Barak Eilam said, "We are pleased to report another quarter of strong and accelerated cloud growth as cloud revenues grew 30% year-over-year, combined with a continued substantial increase in profitability. The strong cloud performance demonstrates how well we are positioned, as enterprises of all sizes become intensely focused on extreme agility in a constantly changing environment."
He added,, "Our recent business performance highlights that: 1) our solutions are mission critical now more than ever, 2) our cloud platforms are essential to enable a flexible work-from-home mode of operation, and 3) cloud and digital transformation, which are at the core of our business, are now dramatically accelerating in the enterprise market."
Published by Globes, Israel business news - en.globes.co.il - on August 6, 2020 © Copyright of Globes Publisher Itonut (1983) Ltd. 2020