Compuware Earnings: Net Income Dips Behind Revenue Decline

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S&P 500 (NYSE:SPY) component Compuware Corporation (NASDAQ:CPWR) saw profit fall amid falling revenue. Compuware provides software products and professional services that improve the performance of information technology organizations.

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Compuware Earnings Cheat Sheet for the Second Quarter

Results: Net income for Compuware Corporation fell to $10.6 million (5 cents per share) vs. $22.7 million (10 cents per share) a year earlier. This is a decline of 53.3% from the year-earlier quarter.

Revenue: Fell 15.4% to $220.6 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Compuware Corporation fell short of the mean analyst estimate of 6 cents per share. It fell short of the average revenue estimate of $236.3 million.

Quoting Management: “Compuware achieved its earnings per share expectations in Q2, supported by continued revenue growth and margin improvements from our APM and Covisint business units,” said Compuware CEO Bob Paul. “We have positive momentum heading into the second half of the year and will continue to focus on delivering profitable revenue expansion through our growth engines.”

Key Stats:

The company fell short of estimates last quarter after beating the mark the quarter before with net income of 5 cents versus a mean estimate of net income of 4 cents per share.

Revenue has dropped in the past two quarters. In the first quarter, revenue declined 1.7% to $226.2 million from the year-earlier quarter.

Looking Forward: The average estimate for the third quarter remains unchanged at 14 cents a share. For the fiscal year, the average estimate has moved down from 45 cents a share to 43 cents over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

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