TIBCO Software Beats Fourth-Quarter Targets but Shares Fall
Shares of TIBCO Software are trading as much as 4.8% lower in after-hours action, following the release of Tibco's fourth-quarter and full-year results.
Tibco's sales climbed 6% higher year over year, landing at $315.5 million. Non-GAAP earnings were flat at $0.42 per share. Wall Street analysts had expected earnings of $0.39 per share on $312 million in total revenue, so the company exceeded analyst targets on both counts. The results also came in above management's own guidance ranges.
The press release did not provide guidance for the next quarter or fiscal year, sticking to Tibco's policy of handling guidance in the post-earnings analyst call.
License revenues broke the pattern of outperforming expectations, landing squarely inside management's projections at $140 million. This means that the lower-margin service and maintenance division delivered the bulk of the revenue surprise. Tibco still breezed by its earnings goals thanks to a 14% reduction in general and administrative costs.
CEO and founder Vivek Ranadive indicated that the execution problems in Tibco's American sales operations seem to be behind him. "We saw strong, accelerating growth in the Americas and a return to growth in Asia this quarter," he said in a prepared statement.
The article TIBCO Software Beats Fourth-Quarter Targets but Shares Fall originally appeared on Fool.com.
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