Data management software and services provider CommVault Systems, Inc. (CVLT), Wednesday, reported a sharp increase in third-quarter profit that also surpassed analysts' estimates, primarily driven by "a record" number of enterprise deals during the quarter and increased demand for Simpana 8 software suite of products.
The Oceanport, New Jersey-based company's net income for the third quarter was $5.44 million compared to $3.88 million last year. On a per-share basis, earnings increased to $0.12 from $0.09 last year.
Excluding items, net income increased 33% to $8.71 million or $0.19 per share from $6.55 million or $0.15 per share last year. On average, 14 analysts polled by Thomson Reuters expected the company to report earnings of $0.18 per share. Analysts' estimates typically exclude special items.
Revenues rose 18% to $70.69 million from $60.05 million. Fourteen analysts were looking for revenue of $68.60 million for the quarter. Revenue grew 6% sequentially.
Software revenues increased 12% to $35.22 million from $31.35 million last year, helped by higher demand for Simpana software suite. Service revenues grew 24% reaching $35.47 million from $28.71 million last year. Sequentially, software revenues grew 5% and service revenues rose 7%.
For the nine-month period, net income was $12.59 million or $0.28 per share compared to $12.09 million or $0.27 per share last year. Non-GAAP net income was $22.87 million or $0.51 per share compared to $19.70 million or $0.45 per share last year. Total revenue improved to $197.59 million from $178.38 million last year.
CVLT shares closed Tuesday's trading session at $21.85 per share on the Nasdaq.
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