CA has delayed posting its fourth quarter and full year
results, and restated the figures from the third
quarter.
The company said the move was mainly as a result of a new sales
commission scheme, which has seen it paying higher than expected
sales commissions to staff.
The higher commissions are expected to put CA in the red for the
fourth quarter, instead of at least breaking even.
John Swainson, CA’s chief executive officer, said, "We are
disappointed that what would have been a solid year was impacted by
execution issues relating to commissions, which adversely affected
our fourth quarter performance, and which led to a restatement of
our third quarter results."
CA says it is now busy trying to get its final results ready and
to prevent such a problem happening again.
The company’s year ended on 31 March. News of the results delay
came after CA issued a profits warning in April.
As well as finalising how it accounts for sales commission
expenses, CA said it will have to tackle some tax issues before it
can release final figures.
CA's share price fell $1.24 to $20.92 on news of the results
delay.