Ailing supply chain management software maker i2 Technologies is on the hunt for a new chief executive officer, despite reports of a dip in revenue.
By submitting your personal information, you agree that TechTarget and its partners may contact you regarding relevant content, products and special offers.
The company announced that founder Sanjiv Sidhu will step down as chief execuitve of the company as soon as a replacement can be found.
Additionally, i2 announced second-quarter revenue of $111m (£60m), down from $122m in the second quarter of 2003. Licence revenue, which is often a reflection of the health of a software company, dropped to $12m, compared with $17m in the same quarter last year.
Net income totalled $12m, compared with a loss of $30m in the first quarter of 2004 and higher than the $1m it posted in the same quarter last year.
Among the $93m in costs incurred by the company was a $4m restructuring charge, a $2m cost related to former employees and a $1m legal bill resulting from a class-action lawsuit and a US Securities and Exchange Commission investigation.
"I'm very pleased with the progress we've made this past quarter," Sidhu said. "We've closed new business, put the company on a much more solid financial footing, increased customer satisfaction and are implementing the next generation of supply chain management solutions at leading customers."
He also explained his decision to step aside. "We have taken many steps over the past year to position i2 for success as we move forward. The time is now right for us to attract a world-class chief executive officer for i2. I plan to continue as chairman, and remain as committed to i2 as I've ever been."
During the quarter, i2 received an infusion of $120m, some of which came from Sidhu himself. i2 also paid out $10m for the settlement of an SEC enforcement action and $42m for the settlement of class-action and derivative lawsuits.
Meanwhile, i2 rival Manugistics Group announced that Joe Cowan will be that company's new chief executive, replacing Gregory Owens, who will continue in his existing role as board chairman. Cowan was most recently president and chief execuitive of EXE Technologies, which offers distribution and inventory management software.
Marc L Songini writes for Computerworld