Feeds

Novell profits vanish in Q3

Linux biz plods along

The essential guide to IT transformation

Novell still looks like the little engine that can't after reporting a drop in third quarter revenue and income.

The software maker posted revenue of $290m - down from $305m in the same period last year. Not good. Add to that a stunning fall in net income to $2m from $24m in last year's third quarter, and the company's financials fail to inspire.

Novell, however, continued to celebrate its Linux business in light of the lackluster results.

"Customers continue to embrace Novell's Linux and identity solutions," said Jack Messman, CEO of Novell. "We were particularly pleased with our initial penetration of the Chinese market where Linux is an attractive technology for government and commercial users. . . . While we were profitable this quarter, we still have improvements to make in our business which will lead to cost reductions." During the third quarter, Novell pulled in $44m from Linux-releated sales, including $31m off Open Enterprise Server and $8m off subscriptions to SuSE Linux Enterprise Server (SLES). Subscriptions to SLES hit 28,000 over the three months. Hardly the stuff dreams are made of.

In the same period last year, Novell reported Linux revenue of $12m on the back of 19,000 sales of SLES.

Shareholders ignored Novell's more than 90 per cent year-over-year profit drop to send shares 3 per cent higher during Friday's trading. ®

Next gen security for virtualised datacentres

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
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
Barnes & Noble: Swallow a Samsung Nook tablet, please ... pretty please
Novelslab finally on sale with ($199 - $20) price tag
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 ...
Banking apps: Handy, can grab all your money... and RIDDLED with coding flaws
Yep, that one place you'd hoped you wouldn't find 'em
Video of US journalist 'beheading' pulled from social media
Yanked footage featured British-accented attacker and US journo James Foley
Call of Duty daddy considers launching own movie studio
Activision Blizzard might like quality control of a CoD film
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
prev story

Whitepapers

A new approach to endpoint data protection
What is the best way to ensure comprehensive visibility, management, and control of information on both company-owned and employee-owned devices?
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.
Maximize storage efficiency across the enterprise
The HP StoreOnce backup solution offers highly flexible, centrally managed, and highly efficient data protection for any enterprise.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.