Novell Announces Change in Expected Second Fiscal Quarter Results
PROVO, Utah, April 22 /PRNewswire/ -- Novell, Inc. (Nasdaq:NOVL) said today that for its
second fiscal quarter ending April 30, 1997, it currently expects to report between $300 and
$335 million in revenue, down from the $375 million achieved in the first fiscal quarter of 1997.
Within this revenue range Novell expects to report a slight profit. The company's estimates of
both revenue and profitability are forward looking, based on current expectations, and actual
results may differ materially due to risks, uncertainties and other factors. Factors that could
cause actual results to differ materially from projected statements include order rates from large
customers, product mix, end-user market demand, competitive products and pricing, technology
change and other issues addressed in Novell's form 10-K and 10-Q filings.
Early reports indicate that sales, particularly to small and medium businesses, from Novell
OEM's and distributors of boxed software products, are lower than previously expected for the
second fiscal quarter.
Sales through the company's multi-product license programs continue strong, reflecting strength
in the large network enterprise market.
Eric Schmidt, Novell chairman and CEO, said, ``We are going to do a thorough business review
in light of this information. We will make the changes necessary to better manage and control
Novell's business, including setting appropriate levels for operating expenses and product
inventories in the distribution channel. I intend to make certain that Novell's resources and
priorities are tuned to fully revitalize this company.
``We are strengthening Novell's business with new Internet products. The product path we are
on is replacing Novell's older business with an Internet future that I came to help create.''
The announcement today does not address actual results for Novell's second fiscal quarter
1997. Actual results for the company are expected to be announced on Wednesday, May 28.
Founded in 1983, Novell is the world's leading provider of network software. The company
offers a wide range of network solutions, education and support for distributed network,
Internet, intranet and small business markets. Information about Novell's complete range of
products and services can be accessed on the World Wide Web at novell.com.
NOTE: Novell is a registered trademark of Novell, Inc. |
