NEW YORK (TheStreet) --Shares of CommVault Systems Inc. (CVLT) - Get CommVault Systems, Inc. Report are lower by 4.66% to $41.67 on heavy volume in late morning trading on Tuesday, after the company reported a decrease in fiscal 2015 second quarter net income to $6.5 million, or 14 cents per diluted share, compared to $17.4 million, or 35 cents per diluted share for the year ago quarter.
The company, which provides data and information management software applications and related services, said net income on a non-GAAP basis for the most recent quarter fell by 31% to $16.5 million, or 35 cents per diluted share, from $23.9 million, or 48 cents per diluted share for the fiscal 2014 second quarter.
Analysts polled by Zacks Investment Research expected CommVault to report earnings of 45 cents per share for the quarter.
Total revenues for the quarter grew by 7% to $151.1 million over the year ago period, but fell short of the $157.4 million analysts were expecting.
"Despite the strength of our strategic position, the depth and differentiation of our technology, and our strong financial position, we did not execute well enough to meet our own expectations for the quarter. Since these issues are rooted in execution challenges that are well within our control, we remain confident that we can return CommVault to historical growth rates," said company CEO Robert Hammer.
Separately, TheStreet Ratings team rates COMMVAULT SYSTEMS INC as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate COMMVAULT SYSTEMS INC (CVLT) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and notable return on equity. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income and a generally disappointing performance in the stock itself."
You can view the full analysis from the report here: CVLT Ratings Report