Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : EARNINGS REPORTING - surprises, misses & more -- Ignore unavailable to you. Want to Upgrade?

To: 2MAR$ who wrote (674)	7/10/2001 6:53:42 PM
From: 2MAR$	Read Replies (1) \| Respond to of 762

RATL ($19 ) beats lowered 1Q forecast CUPERTINO, Calif., July 10 (Reuters) - Software development tools maker Rational Software Corp. (NasdaqNM:RATL - news) on Tuesday posted fiscal first-quarter earnings that beat lowered expectations, as its pro forma net income fell 40 percent from a year ago on slower spending in Europe and Asia. ADVERTISEMENT For the quarter ended June 30, Rational reported pro forma net income of $16.2 million, or 8 cents per diluted share, excluding one-time items, down from $26.9 million, or 13 cents a share, last year. Net losses grew to $24.8 million, or 13 cents a share, in the fiscal first quarter of 2002, compared with a net profit of $19.4 million, or 10 cents a share, a year ago. Pro forma earnings per share for the periods reported exclude one-time charges for purchased in-process research and development, amortization of goodwill and purchased intangibles and amortization of stock-based compensation related to recent acquisitions, as well as restructuring charges. ``Rational was negatively impacted by weakness in our international business -- particularly right at the end of the quarter,'' Paul Levy, Rational's chairman and co-founder, said in a statement. Analysts has expected the company to earn an average of 7 cents a share, excluding items, with estimates ranging from 7 to 8 cents a share, according to Thomson Financial/First Call. On July 2, Rational warned slower-than-expected demand in Europe and Asia would cause its results to trail expectations and said earnings would be 7 cents or 8 cents a share on revenue of $172 million to $176 million. Actual revenues fell in the high end of that range, growing 3 percent to $175.8 million compared with $170.3 million in the year-ago quarter. Prior to the company's warning, analysts' consensus forecast was for earnings of 8 cents a share on $185 million in sales. Rational shares were trading at $19 on Instinet following the company's after-hours announcement. The stock, which finished 82 cents lower at $18.77 on Nasdaq, has underperformed Standard & Poor's computer software index by 7.54 percent since the end of 1999.