Acting CEO Jeremy Rutherford, whose investor group ousted former CEO Shirley Singleton in March, said during this week's earnings webcast the company is enlarging sales and marketing operations for all units: Fullscope, the Dynamics VAR; Renzel, an Oracle partner; and classic reselling. "Our units are in excellent, growth-oriented markets," he said. However, with Oracle refocusing on cloud-based applications "Customers are evaluating their cloud adoption strategy," he said.The result was a downturn in earnings and revenue. The company lost $860,000, compared to net income of $1.3 in last year's corresponding period. Revenue dropped to $30.3 million in the most recently ended period, off 10.9 percent from $34 million. The bottom line reflected a change in valuation of tax assets. But operating income also dropped to $617,000 from slightly less than $3 million a year earlier. However, Rutherford expects the Oracle business to pick up.
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EDGEWATER RESETS OPERATIONS Featured
Edgewater Technology hopes that the current period is the pause that refreshes. As the company has reorganized its consulting operations, it intends that increased marketing and sales efforts will boost grow in its three business units.
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