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Concur Technologies Shares Down 6% As Q2 Loss Widens; Weak 2013 Outlook

Shares of Concur Technologies, Inc. (CNQR) were down more than six percent in extended trade on Wednesday after the expense management software maker reported a wider loss for the first quarter. The company also provided weak earnings guidance for the full-year 2013. However, both adjusted earnings per share and quarterly revenues came in above analysts' expectations.

"We had a strong start to the year with solid financial results and continued progress against our strategic and operational objectives," Chairman and CEO Steve Singh said in a statement.

The Redmond, Washington-based integrated travel and expense management solutions provider reported a net loss of $12.03 million or $0.22 per share for the first quarter, sharply wider than $868 thousand or $0.02 per share in the prior-year quarter.

Adjusted pre-tax income for the quarter was $17.21 million or $0.30 per share, compared to $17.93 million or $0.32 per share in the year-ago quarter.

On average, 20 analysts polled by Thomson Reuters expected the company to report earnings of $0.20 per share for the quarter. Analysts' estimates typically exclude special items.

Revenue for the quarter rose 22 percent to $122.80 million from $100.38 million in the same quarter last year, and topped twenty Wall Street analysts' consensus estimate of $121.61 million by a whisker.

Total expenses for the quarter increased to $131.07 million from $95.73 million in the prior-year quarter.

Adjusted operating margin for the quarter contracted 450 basis points to 15.4 percent from last year's 20.0 percent.

Looking ahead to the second quarter, the company expects adjusted pre-tax earnings of about $0.24 per share, on projected revenue growth of about 19 percent. Analysts expect the company to report earnings of $0.21 per share on quarterly revenues of $132.59 million.

For fiscal 2013, Concur forecasts adjusted pre-tax earnings of about $1.40 per share on anticipated revenue growth of about 25 percent. Street is currently looking for full-year 2013 earnings of $0.96 per share on annual revenues of $549.49 million.

"The trend lines across the business are showing solid momentum - from small businesses to large enterprises, around the globe and across verticals. We expect to grow revenue 25% year-over-year for the full fiscal year, driven by these trends and the strong demand in our core business," Singh added.

Concur Technologies noted that federal government business is off to a strong start with its first agency signings, which in combination with the continued momentum in the company's private sector business provides the foundation for continued strong revenue growth in fiscal 2014 and the years ahead.

CNQR closed Wednesday's regular trading session at $72.49, up $0.39 or 0.54% on a volume of 0.95 million shares. However, the stock lost $4.55 or 6.27% in after-hours trading.

by RTTNews Staff Writer

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