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INFOR REVS UP DOUBLE DIGITS Featured

Nicole Anasenes, InforInfor posted net income for the second straight quarter the software giant said this week. It will need that kind of sustained performance to go public. And the company had a 22-percent rise in product income for the first quarter ended July 31, compared to a 2-percent hike in product updates and support fee revenue for the same period. How many financial product publishers see their product revenue growth exceed maintenance?

The quarter produced net income of $73.5 million, up sharply from $11.6 million. Revenue in the most recently ended period hit $753.2 million,  an increase of 5.9 percent from $711.3 million a year ago. The big change was the $192 million in product revenue, compared to $157.2 million in last year’s corresponding period.  CEO Charles Phillips expressed his pleasure at the results. “We had double-digit growth across most of our key business units,” he said. Phillips cited increased coverage of Infor in the press and by analysts but noted, “Brand recognition remains one of our biggest challenges.” Analysts wanted to know if there was an impact in changing the fiscal year from July 31 to June 30. The company said it had some. But did not specify how much of the increase came from that factor. CFO Nicole Anasenes said analysts should not project the same growth rate forward. Phillips said the company has been surprised in the size of companies willing to go to the cloud.

 

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