Life is good for shiny, happy PeopleSoft

Solid results at 'healthy and vibrant' company

By John Oates • Get more from this author

Posted in Financial News, 22nd October 2004 09:45 GMT

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PeopleSoft proved that the unwanted attentions of Oracle are not scaring off too many customers.

For the third quarter ended 30 September 2004 PeopleSoft brought in total revenue of $699m, up eight per cent on the previous quarter and up from $624m for the same period last year. Pro forma net income was $62m, up 22 per cent over the prior quarter.

Maintenance revenue grew to $32m from $23m for the same three months of 2003. But professional service revenues fell slightly from $23m in the third quarter of 2003 to $22m this year. License fees were up very slightly from $160m to $161m. The firm added 138 new customers during the quarter.

PeopleSoft founder Dave Duffield, recently appointed CEO to replace Craig Conway, made some comments about the takeover during a conference call. According to CNet, Duffield noted: "It's been amusing to listen to what people think I'm going to do. Some people have speculated that I'm here to sell the company to Oracle. Others are guessing I'm here to block a sale. Both are wrong. I'm here to make sure that our company obtains its full potential, something that absolutely enhances value to our shareholders."

Kevin Parker, CFO at PeopleSoft, enthused: "Strong top-line and bottom-line performance, solid cash flow, low DSO, and a robust Q4 pipeline, combined with operational excellence, are the hallmarks of a healthy and vibrant company." ®