Feeds

Red Hat shaves loss to $900k

Revenues up 112 per cent too

  • alert
  • submit to reddit

Build a business case: developing custom apps

Red Hat, the Linux company that isn't a Linux company - it's an "open source Internet infrastructure solutions" provider, apparently - yesterday said its latest quarter saw revenues rocket a clear 112 per cent. And its loss improved somewhat too.

For the three months to 30 November - Red Hat's third quarter of fiscal 2001 - revenues reached $22.4 million, up from $10.5 million for the same period last year. That's good news, as is Red Hat's headline earnings figure, a $900,000 loss (one cent a share), a very big improvement on the $5.3 million loss is posted for Q3 2000 and ahead of Wall Street's consensus expectation of two cents a share. Hurrah!

Of course, when you factor in one-off expenses, such as acquisition charges, Red Hat lost $21.4 million (13 cents a share), which is significantly worse than the $6.3 million it lost this time last year. But that's the point: they're one-offs, and not a sign of trouble with the company's business plan.

That strategy continues to be a focus on revenue growth. "We are committed to increasing revenue by a minimum of 85 per cent or $157 million in fiscal 2002... and achieving profitability by the end of calendar 2001,'' said Red Hat's CFO, Kevin Thompson.

"These results put us in an extremely strong position going into the fourth quarter,'' he added. "We are committed to our stated goals of growing revenues by 100 per cent during fiscal 2001."

Actually, the 2002 revenue goal is $155 million, according to Red Hat CEO Matthew Szulik, but hey, we can forgive Kev making a small error when he's clearly so over the moon.

As well he might, his company having seen improving results when is seems like almost every other IT company is warning investors and analysts to expect revenue and profit falls. ®

Boost IT visibility and business value

More from The Register

next story
Video of US journalist 'beheading' pulled from social media
Yanked footage featured British-accented attacker and US journo James Foley
Kate Bush: Don't make me HAVE CONTACT with your iPHONE
Can't face sea of wobbling fondle implements. What happened to lighters, eh?
Caught red-handed: UK cops, PCSOs, specials behaving badly… on social media
No Mr Fuzz, don't ask a crime victim to be your pal on Facebook
Ballmer leaves Microsoft board to spend more time with his b-balls
From Clippy to Clippers: Hi, I see you're running an NBA team now ...
Amazon takes swipe at PayPal, Square with card reader for mobes
Etailer plans to undercut rivals with low transaction fee offer
Microsoft exits climate denier lobby group
ALEC will have to do without Redmond, it seems
Assange™: Hey world, I'M STILL HERE, ignore that Snowden guy
Press conference: ME ME ME ME ME ME ME (cont'd pg 94)
Call of Duty daddy considers launching own movie studio
Activision Blizzard might like quality control of a CoD film
US regulators OK sale of IBM's x86 server biz to Lenovo
Now all that remains is for gov't offices to ban the boxes
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 10 endpoint backup mistakes
Avoid the ten endpoint backup mistakes to ensure that your critical corporate data is protected and end user productivity is improved.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Rethinking backup and recovery in the modern data center
Combining intelligence, operational analytics, and automation to enable efficient, data-driven IT organizations using the HP ABR approach.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.