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ACQUISITIONS HELP COLUMBUS RESULTS Featured

Thomas Honoré, ColumbusAcquisitions in 2015 and 2016 and improved operations in Norway were major factors in results for reseller and software developer Columbus for the nine months ended September 30. In this week's earnings webcast, CEO Thomas Honoré cited American purchases, including reseller Interdyn BMI last year, as boosting software sales and services income.

Revenue for the nine months was $100.7 million an increase of 10.7 percent over last year's corresponding period. Pre-tax earnings reached $7.4 million up 8.8 percent from a year ago. Honoré said the move to the cloud was impacting both license sales and service revenue. Service income suffers because there fewer services are sold to cloud customers. Columbus has responded by shifting work in the services business from new customers to existing customers. However, CFO Hans Henrik Thrane noted, "We expect service revenue to continue to be the major revenue stream in the future." Overall, Columbus expects revenue to increase an average 10 percent annually each year through 2018. About 3 to 5 percentage points will come from services revenue with the rest from anticipated acquisitions.

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