Hyperion Releases 3Q Results

Higher software license and maintenance and services revenue were the two main reasons Hyperion Solutions reported higher third-quarter earnings, according to a statement released yesterday by the business intelligence software provider.

Total revenue for the quarter rose 7% to $177.1 million, compared with $166.1 million for the same period a year ago. Software license revenue increased 5% to $68.7 million, compared with $65.1 million for the same period a year ago, while maintenance and services revenue grew 7% to $108.4 million, compared with $101.0 million in the year-ago period.

The company's third quarter net income increased 48 percent to $18.8 million, or 45 cents per share, from $12.7 million, or 32 cents per share in the year-earlier period. Third-quarter results include a restructuring credit of $1.8 million that resulted from Hyperion's sub-lease of the former Brio headquarters in Santa Clara, Calif., and the company's buy-out of the lease on its former headquarters in Sunnyvale, Calif. Pro forma net income – not including the impact of charges, net of related tax, amortization and restructuring credits -- gained 31 percent year-over-year to $19.5 million, or 47 cents per share, from $14.9 million, or 37 cents per share, in 2004.

The results were in line with the preliminary financial results announced April 11, calling for profit of 46 cents to 48 cents per share. However, Thursday's earnings news did not positively affect the company's stock: shares fell 11 cents to close at $45.99 on the Nasdaq.