Harbinger Corporation Announces Preliminary Second
Quarter Results
Atlanta, GA - July 7, 1998 - Harbinger Corporation (NASDAQ: HRBC), today announced that the Company expects to report revenues for the second quarter ending June 30, 1998, of between $35.0 to $36.0 million, an increase of approximately 25% over the same period last year, and approximately 5% less than First Call's consensus analyst expectations. The Company also announced that second quarter earnings will be $.10 per share, an increase of approximately 43% over the same period last year, and approximately 15% less than First Call's consensus analyst expectations.
The Company failed to reach its internal revenue and earnings targets in the second quarter in large part due to a failure to ship approximately $1.0 million of software representing 20 new software licenses executed prior to June 30 but shipped July 1. Accounting guidelines prohibit a company from recognizing revenue until software has been shipped. This shipment problem was principally due to a transfer of the responsibility for production from one Harbinger location to another without sufficient procedures being set in place. As a result, Harbinger has begun a careful, new review of the integration of its acquisitions and the revenue goals of each of its lines of business. The Company expects that this review will be concluded and shared with investors in late August. The Company believes that this review may result in downward revision of the Company's internal revenue growth goals of 5% to 10% for the remainder of the year. The Company expects operating income growth targets in the third and fourth quarter to be in the 50% range. Further, this review may result in internal growth targets of 35% for revenue growth and 45% growth in operating income for 1999
You can read the rest at
harbinger.com
This is hard to swallow! They forgot to ship the software? Because they forgot to ship the software they may have to revise goals, etc. Gimme a break!!
SK |
