Feeds

Linux helps dampen Novell's losses

OS sales up 77 per cent year-over-year

Build a business case: developing custom apps

Novell narrowed losses in the third quarter, bolstered by the SUSE Linux business beginning to pull more weight.

For the quarter ended July 31, Novell reports a net loss of $3.42m, a 48 per cent difference compared with a loss of $6.5m in the same quarter the previous year.

Excluding one-time items, Novell's income from operations totaled $16.1m, down from $23.8m year-over-year. Revenue increased to $243.1m from $236.3m the previous year.

Most of Novell's operation grew during Q3, with Linux leading the charge. During Q3, Novell reports $22m of revenue from Open Platform Solutions. $21m of that sum was from Linux products. This represents a 77 per cent revenue increase for the platform year-over-year.

Novell was also keen to show how much revenue it booked in the quarter: Linux invoicing earned $38m, up 95 per cent year-over-year. Revenue from Identity and Access management was $27m, up two per cent from the previous year. Systems and Resource Management brought in $35m, up four per cent over the previous year. Novell's Workgroup business is the lone unit to report lower revenues, two per cent loss to $83m in the same period a year ago.

"We are encouraged by our Linux performance and the market's continued enthusiasm for our desktop to data center strategy. In addition, we are pleased with our operating margin expansion and progress on our strategic initiatives," said Ron Hovsepian, CEO of Novell.

For the full fiscal year, the company expects to report net revenues between $924m and $955m, in line with prior guidance. For fiscal year 2006, Novell posted net revenue of $967m.

Novell expects to beat its previous guidance for adjusted income of between break-even and $10m. ®

The essential guide to IT transformation

More from The Register

next story
True fact: 1 in 4 Brits are now TERRORISTS
YouGov poll reveals terrible truth about the enemy within
Microsoft exits climate denier lobby group
ALEC will have to do without Redmond, it seems
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 ...
Video of US journalist 'beheading' pulled from social media
Yanked footage featured British-accented attacker and US journo James Foley
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
Assange™: Hey world, I'M STILL HERE, ignore that Snowden guy
Press conference: ME ME ME ME ME ME ME (cont'd pg 94)
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.
7 Elements of Radically Simple OS Migration
Avoid the typical headaches of OS migration during your next project by learning about 7 elements of radically simple OS migration.
BYOD's dark side: Data protection
An endpoint data protection solution that adds value to the user and the organization so it can protect itself from data loss as well as leverage corporate data.
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.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?