Novell made $5.87 million, or two cents a share, in its second fiscal quarter ended April 30 on flat revenues of $235.7 million, up only ~$3 million. A year ago it lost $2.9 million, down a penny.
Legal and R&D cost it $4.5 million.
On a non-GAAP basis, income from operations for the second fiscal quarter 2008 was $16 million versus $9 million last year.
The company’s product revenue from Open Platform Solutions, almost all of it Linux, came to $30 million, up 31%.
Service revenues were down 19% to $41.1 million.
Product revenue from Identity and Security Management was $31 million of which Identity and Access Management was $27 million, up 13% year-over-year. Product revenue from Systems and Resource Management was $41 million, up 15% year-over-year. Workgroup product revenue of $92 million was down 1%.
Novell has $1.4 billion in the bank, down from $1.8 billion year-over-year, due primarily to the acquisition of PlateSpin and the repurchase of a portion of its debentures.
Total deferred revenue was $702 million, up from $700 million. Cash flow from operations was a negative $18 million versus a negative cash flow from operations of $29 million last year.
Novell thinks revenues for all of 2008 will be between $940
million and $970 million with an operating margin of between 7% and 9%.
© 2008 SYS-CON Media Inc.