Feeds

SCO watches Q2 revenue and loss shrink

Marketing and sales down

  • alert
  • submit to reddit

The Power of One Infographic

A number of cost-cutting moves helped the beleaguered SCO Group shrink its second quarter loss. But despite improving its bottom line, the software maker had little good news for investors on the sales front.

SCO's revenue hit $9.3m during the second quarter, down from the $10.1m reported in the same period last year. SCO's net loss shrunk to $2.0m during the second quarter, which compared to a net loss of $14.7m in the same period last year. The company made massive cuts to its sales and marketing budgets to save money.

Sales of SCO's Unix software and services were down during the quarter, while its SCOsource license business improved year-over-year. SCO whined about the failing Unix business at one point in its statement about the financials, only to complement the business a couple of sentences later.

"The decrease in revenue in the second quarter of fiscal year 2005 from the comparable quarter of the prior year was primarily due to continued competitive pressures on the Company's Unix products and services," SCO said.

And then.

"Our core Unix business remained profitable in the second quarter as expected, and we increased revenue over the prior quarter as a result of improved performance across all geographies," said Darl McBride, CEO at SCO. "We have continued to focus our Unix business on commercial success in the market place and look forward to launching SCO OpenServer 6 later this month. At the same time, our SCOsource business remains committed to pursuing our legal strategy in the courtroom, and we are well-positioned to see our litigation through to its conclusion."

SCO sold just $30,000 worth of its SCOsource licenses. That meager total, however, was actually up from the $11,000 in licenses sold last year.

SCO, you may have heard, is embroiled in a massive software IP battle with the likes of IBM, Red Hat and Novell. This costly war has been draining SCO's coffers for some time. ®

Related stories

IBM and Red Hat to teach Uni students how not to get offshored
Sun acquires oldSCO for $25m
Ex-Sun VP guns for IP violations
Insiders reveal SCO's Monterey disarray
SCO, Groklaw and the Monterey mystery that never was
IBM spooks market with dismal Q1
SCO makes Unix revenue disappear in Q1

Boost IT visibility and business value

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
UK Parliament rubber-stamps EMERGENCY data grab 'n' keep bill
Just 49 MPs oppose Drip's rushed timetable
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
Samsung threatens to cut ties with supplier over child labour allegations
Vows to uphold 'zero tolerance' policy on underage workers
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
US freemium mobile network eyes up Europe
FreedomPop touts 'free' calls, texts and data
prev story

Whitepapers

Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.