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DELTEK READIES CLOUD PRODUCTS
While Deltek reported results for the first quarter ended March 31 and had a 16-percent rise in product revenue, it is useful to focus on what’s coming to market. That includes Maconomy SaaS on the 2012 schedule. And the Herndon, Va.-based company next month will deliver a SaaS based version of Vision that it expects to reach SMBs in the professional services market.
“It will open up a new segment of the market where we are already a recognized leader,” CEO Kevin Parker said in this week’s earnings webcast. He noted Deltek has tested a cloud product, First Essentials, in the government contracting market. Now the numbers: Deltek lost $291,000 in the first quarter, compared to a loss of $6.5 million last year. Much of the improvement came from a $6-million reduction in operating expenses. First quarter revenue rose to $82.7 million, a 3.4-percent increase from just under $80 million a year ago. While product revenue rose to $25 million from just under $22 million, the gain was largely offset by a 23.1-percent decline in consulting services and other revenues. Those fell to $16.4 million from $20.1 million. Maintenance and support income rose to $41.2 million, up 8 percent from $38.2 million. Parker said one bright development is improved sales to American architecture and engineering firms. “We’ve seen signs of life,” said Parker. He continued that there is “a growing sense of recovery.”
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