logo
Share SHARE
FONT-SIZE Plus   Neg

NetSuite Loss Widens, But Tops Estimate; Stock Up - Update

Software maker NetSuite Inc. (N: Quote), Thursday reported a wider fourth-quarter loss, hurt by increased selling and other expenses that offset strong growth in revenues. Nevertheless, excluding items, the company posted a profit that increased from last year and topped Street analysts' estimates, as did revenues. Shares of the company gained more than eight percent in after-hours trade on the Nasdaq.

"In a year that saw Microsoft once again fail to deliver cloud-native ERP solutions, and in a quarter that saw SAP miss their most recent top- and bottom-line forecast as more large enterprises moved to the cloud, NetSuite delivered its best year ever," said NetSuite CEO Zach Nelson.

NetSuite provides cloud-based financials / Enterprise Resource Planning software suites. The San Mateo, California-based company reported fourth-quarter net loss of $9.6 million or $0.13 per share, compared with net loss of $7.6 million or $0.11 per share last year.

Excluding items, adjusted earnings for the quarter were $4.6 million or $0.06 per share, compared with $3.4 million or $0.05 per share in the prior year. On average, 22 analysts polled by Thomson Reuters expected earnings of $0.04 per share for the quarter. Analysts' estimates typically exclude special items.

Revenues for the quarter jumped 33 percent to $85 million from $64 million a year ago. Analysts on consensus estimated revenues of $83.04 million for the quarter.

Expenses for the quarter escalated to $67 million from $52 million last year, reflecting mainly higher selling and marketing overheads.

In January, NetSuite said it bought Retail Anywhere, a provider of multi-channel retail management solutions. The acquisition builds on NetSuite's SuiteCommerce platform, delivering the industry's first and only integrated cloud business suite for retailers.

NetSuite closed Thursday's regular trading at $70.23, up $1.28 or 1.86%. In after-hours, the share further gained 8.22% at $76.00. In the past year, the stock has traded in a range of $40.94 - $71.51.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Internet giant Google Inc. (GOOGL, GOOG) has launched a new online flight search tool that makes it easy to find out the best flight deal. The tool dubbed "Google Flights" provides a calendar that one can scroll through and see the lowest fare highlighted for each day. One can also use the lowest... Hyperloop Transportation Technologies, a start-up that has adopted Elon Musk's ambitious project of high-speed transportation system, plans to build a Hyperloop test track in California and completed as early as 2016. Hyperloop Test Technologies, a crowd-funded company, plans to take Musk's dream... Colors have set the social media afire after an otherwise innocuous photo of a bodycon dress kept users guessing as to what hues permeate it. Opinions are divided, with some seeing the dress as white and gold, and others as blue and black. The photo was posted on Tumblr by a user called Swiked.
comments powered by Disqus
RELATED NEWS
Trade N now with 
Follow RTT