Third-quarter revenue was $23.6 million, down 12.8 percent from $27 million the prior year. The number of customers served year-to-date through September 30 was 570, down from 617 a year earlier. During the week's earnings webcast, Rutherford broke out results for different businesses, not the prior practice. Its Fullscope business, the Dynamics reselling unit, had revenue of $12.9 million, an 18-percent increase from the third quarter of 2016. Edgewater shifted the Microsoft services business out of its classic consulting operations. Microsoft software revenue rose to $2.4 million, an increase of 17.4 percent from $2.1 million. Edgewater Ranzal, the Oracle unit, reported a 24-percent drop in revenue to $12.3 million. Rutherford said Ranzal's strategy has been complicated by Oracle's switch to the cloud. He believes once the Oracle ecosystem stabilizes Ranzal will grow revenue from its on-premise business and pick up a fair share of the cloud business. Some healthcare business was also shifted to Ranzal.
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EDGEWATER REALIGNS UNITS Featured
Edgewater Technology reported a down third quarter for the period ended September 30. However, interim CEO Jeremy Rutherford indicated this week business unit realignment will help it resume growth. The company reported a third-quarter loss of $149,000, compared to net income of $15,000 a year earlier.
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