Informatica Adjusts 2003 Earnings

Business intelligence software maker InformaticaINFA on Monday announced small adjustments to 2003 results stemming from a mistake in the way the company allocated sales from licenses and service.

The adjustments result in a reduction in license revenue, an increase in service revenue and an overall net drop in revenue and net income of less than $1 million.

Informatica said it discovered the error while responding to a Securities and Exchange Commission review of an October filing related to an acquisition. Informatica made the error in all results dating back to the fourth quarter of 1999. But the net cumulative impact is not material, and Informatica will not be amending any filings with the SEC or results prior to 2003, the company said in a postclose press release.

The adjustments for 2003 reduce the company's previously announced $98 million in license revenue by $3.4 million, bringing it to $94.6 million. Service revenue goes up $2.5 million to $110.9 million. That results in a net drop in revenue of $900,000 to $205.5 million.

The changes reduce net income to $7.3 million, or 9 cents a share, from a previously announced $8.2 million, or 10 cents a share.

Shares of Informatica fell 10 cents, or 1.1%, to $8.93 in after-hours trading after shedding 45 cents, or 4.8%, to $9.03 in Monday's regular session.