QAD Inc. (QADB) Class A Shares Miss Q1 EPS by 1c, Revenues Beat; FY19 Revenue Outlook In-Line

QAD Inc. (NASDAQ: QADB) reported Class A Share Q1 EPS of $0.07, $0.01 worse than the analyst estimate of $0.08. Revenue for the quarter came in at $86.2 million versus the consensus estimate of $79.95 million.

Additional fiscal 2019 first quarter financial highlights, versus the fiscal 2018 first quarter, include:

• Subscription revenue of $21.5 million, compared with $15.3 million.
• Subscription gross margin of 62 percent, a 12 percentage point increase from 50 percent.
• License revenue of $6.3 million, compared with $5.3 million.
• Professional services revenue of $26.9 million, compared with $18.9 million. $1.8 million in the fiscal 2019 first quarter related to additional revenuerecognized in compliance with ASC Topic 606 versus the previous standard.
• Maintenance and other revenue of $31.5 million, compared with $31.9 million.
• GAAP pre-tax income of $2.6 million, versus a GAAP pre-tax loss of $2.0 million.
• Non-GAAP pre-tax income of $4.6 million, versus $146,000.
• GAAP net income of $1.4 million, or $0.07 per diluted Class A share and $0.06 per diluted Class B share, compared with a GAAP net loss of $2.6 million, or $0.14 per Class A share and $0.12 per Class B share.

Business Outlook

For the fiscal 2019 second quarter, QAD expects:

• Total revenue of $82 to $83 million, including approximately $21.8 to $22.3 million of subscription revenue.
• GAAP pre-tax loss of $1.5 to $2.0 million.
• Non-GAAP pre-tax income of approximately $1.3 to $2.0 million.

For the fiscal 2019 full year, QAD expects:

• Total revenue of $328 to $332 million, including $90 to $92 million of subscription revenue.
• GAAP pre-tax income of breakeven to $3 million.
• Non-GAAP pre-tax income of $11 to $15 million.

GUIDANCE:

QAD Inc. sees FY2019 revenue of $328-332 million, versus the consensus of $330.84 million.

For earnings history and earnings-related data on QAD Inc. (QADB) click here.

You May Also Be Interested In

• Tesla plans 'flying' Roadster stunt at SpaceX Texas site as early as August
• JD.com (JD) Reiterated at Buy by Benchmark Amid Earnings Recovery
• Zeo Energy Corp (ZEO) Misses Q2 EPS by 7c