News and Analysis

News and Analysis (15713)

EPICOR STOPS PUBLIC REPORTING

EpicorEpicor Software will no longer report its financial results to the Securities and Exchange Commission. The company filed a suspension of its duty to file reports this month. So there goes another view into what's happening in the mid-market. Epicor had continued reporting since 2011 when the publicly held company formerly known as Epicor combined with Activant Solutions and went private after both were purchased by Apax Partners.

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MICROSOFT ADDING DATACENTERS

Bob Stutz, Microsoft Microsoft plans to expand datacenters internationally to support its online services. Locally hosted centers include Toronto and Quebec City, Canada, expected to open by mid-2016. The software company said those will host Azure and Office 365, Dynamics CRM Online. Dynamics CRM Online will be available from India datacenters by the first half of next year with Office 365 and a preview of Azure available in that country next month. The company is also expanding operations in the Netherlands to provide more computing power.

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QAD SUBS COUNTER DOLLAR

 Karl Lopker, QADA 52-percent rise in subscription revenue countered currency impact that dented both maintenance and professional services revenue for QAD for the first quarter ended April 30. Subscription revenue rose to $9.4 million for the most recently ended period, compared to $6.2 million a year earlier. Maintenance revenue fell by 8 percent to $33.3 million with the weaker dollar chopping $2.7 million off that income source. Professional services revenue was $19.6 million with a $1.8-million increase in constant currencies offset by an equal impact of currency.

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UNIT4 BUYS SCHOOL APP

Jose Duarte, Unit4 Unit4 has acquired Three River Systems, a company based in the United States that makes student management applications. Unit4 has acquired Three River Systems, a company based in the United States that makes student management applications. It's another in a series of fast-moving actions by the Netherlands-based company which has been increasingly active since going private last year. Unit4 said this acquisition supports its strategy of offering "market leading industry-specific solutions to people-centric businesses."

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FINANCIALS BUILT ON DYNAMICS CRM

Mark Rockwell, Rockton SoftwareRecently, we wrote about John Silvani's Gravity Software which is peddling a financial application built on top of Dynamics CRM. Silvani is not the only one. Last fall, Rockton Software launched Rockton Connect. "Some in Microsoft question why we'd go through the trouble of writing a new accounting application in the Dynamics space when GP, AX, NAV, and SL exist," says owner Mark Rockwell. "My standard reply is 'because GP, AX, NAV and SL exist.'" And the product is for those outgrowing QuickBooks.

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SWK PARENT WANTS TO DOUBLE REVS

Mark Meller, SilverSun TechnologiesSilverSun Technologies, parent of SWK Technologies, continues to be on the hunt for other Sage VARs and wants to double its revenue. In a recent investor presentation, SilverSun CEO Mark Meller said the company's parameters for targets are more than $1 million in annual revenue and resellers that are cash flow and income positive. "The company is actively reviewing additional acquisitions ," he told listeners.

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EPICOR SPINS OFF RETAIL SOLUTIONS

Joseph Cowan, Epicor SoftwareEpicor Software has spun off its Retail Solutions division effective June 1. For the moment, the company is named Spinco—a new partnership of investors, but remains under the same ownership funds advised by Apax Partners as all the assets were transferred to the same parent that owns Epicor. Information about the retail business remains on the Epicor website, but I assume that will change when the company receives a real name.

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AVALARA ADDS FUEL PACKAGE

Matt Tormollen, AvalaraAvalara has launched Avalara Returns Excise Pro, an online service. The sales-and-use tax company says the application enables small to mid-sized fuel distributors, suppliers, and terminal operators to file accurate fuel tax returns. Excise Pro utilizes a four-step process. Those steps start when the user enters fuel sales data into a return-specific spreadsheet template. Next, schedules are imported via spreadsheets with errors detected by the system's data validation.

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UXC, MCACONNECT TAKE DYNAMICS AWARDS

Claude Watson, mcaConnect Australia-based UXC Eclipse is Dynamics Industry Partner of the Year and mcaConnect is the Dynamics ERP Partner of the year for 2015. The awards were announced in the build up to the Worldwide Partner Conference being held next month. The Finalists in the Industry category were Edgewater Fullscope, Hitachi Solutions and VeriPark. The ERP finalists are Azzure IT, Columbus and Tribridge. mcaConnect, headed by Claude Watson, was No. 11 on this year's Bob Scott's Top 100 VARs list with $42 million in revenue.

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XERO, INTUIT HIT MILESTONES

IntuitThe numbers are less interesting the counterprogramming. This week, Xero said during its Xerocon conference in Denver it has reached 500,000 subscribers. But the next day, Intuit released its announcement that it had  1 million subscribers for QuickBooks Online. There was no surprise in that—I pointed out in an article based on the 965,000 for April 30, the end of the last quarter, that it was highly unlikely QBO would not cross the threshold.

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