BMC Software has posted a $41.1m (£23m) loss
for the first quarter, but is predicting a rosier
future.
The software firm saw revenues rise by 7% to
$348.3m and its profits before special items – including the costs
of a major restructuring – were $43.9m, up 39% compared with the
same period a year ago.
The restructuring plan, announced in April,
will see between 825 and 875 jobs axed – about12% of the global
workforce – and is expected to produce cost savings of $100m a
year.
Announcing its results, BMC raised its
previous estimates for the financial year as a whole. It is now
estimating revenues of between $1.49bn and $1.52bn, compared with
an earlier forecast of between $1.48bn and $1.50bn.
The company ended the first quarter with a
record $1.3bn in cash and marketable securities and a record $1.6bn
in deferred revenues.
BMC president and chief executive Bob
Beauchamp said, “This was a strong quarter for BMC as our customers
continued to respond favourably to our Business Service Management
solutions.
“Despite a competitive environment, our
implementation of a major restructuring and the reallocation of
sales resources to growth businesses, we sharpened our focus and
significantly improved our operating margin. The growth in
profitability of our business is indicative of the value of these
initiatives.”