Compute Associates Reports Profit
NEW YORK (AP) _ Computer Associates International Inc. on Tuesday said its quarterly profits rose a better-than-expected 22 percent, lifted by strong sales of its software for managing business computer networks.
Computer Associates, the world’s biggest maker of business software, said it earned $271.9 million, or 72 cents per share, in its second fiscal quarter ended Sept. 30. That was up from $223.4 million, or 59 cents per share, in the year-earlier quarter.
Revenues grew 13 percent to $1.12 billion million from $990.1 million, despite the negative impact of the strong dollar on overseas sales.
The profits were slightly above the 69 cents per share expected by analysts surveyed by IBES International.
Computer Associates, based in Islandia, N.Y., cited strong sales of its flagship Unicenter TNG software, which was updated this year to improve how companies manage and troubleshoot their computer systems.
In the six months ended Sept. 30, Computer Associates earned $684.2 million, or $1.14 per share, up from $343.2 million, or 90 cents per share. Revenues rose to $2.01 billion from $1.78 billion.
The results were released after Tuesday’s close of the New York Stock Exchange, where Computer Associates stock rose 5 percent, or $4 per share, to $80.25. Computer Associates also announced a three-for-one stock split.