Stock Market Watch

Aspen Technology Swings to a Profit in Q4, Shares Rally in Afterhours (AZPN)

by ·


Aspen Technology Inc. (NASDAQ: AZPN) said late on Thursday that it swung to a profit in its fiscal fourth quarter, aided by sharp increase in revenue from subscriptions and software sales.

Shares jumped about 14.40% in aftermarket hours as the results topped analysts’ expectations.

The Burlington MA based Company, which designs software to help oil, gas and pharmaceutical companies manage supply chains, has been consistently posting strong sales growth in recent quarters.

For the fiscal fourth quarter ended June 30, Aspen Technology reported a net income of $20.4 million or 21 cents a share, compared to a loss of $5.4 million or 6 cents a share, in the same quarter of last year.

Stripping out onetime items such as stock based compensation and other expenses, the company earned 24 cents a share on adjusted basis, compared to a loss of 4 cents a share, in the same period of last fiscal year.

Revenue climbed 30% to $83.3 million.

Analysts’ consensus estimate was for earnings of 8 cents a share on revenue of $78.8 million, according to a poll conducted by Thomson Reuters.

Gross margin improved to 84.4% from 79.5%.

While revenue from software sales and subscriptions rose 42% to $65.2 million, revenue from services segment edged down 0.8%.

Through Thursday’s close, the stock has gained 15% from the start of the year.

 








More Posts by this author

edliston
Post Written By: Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.

Tags:

Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing.

You may also like...