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Shares of Progress Software Corp. (PRGS - Get Report) fell sharply Friday after the company forecast lower-than-projected earnings for the first quarter.

The Bedford, Mass.-based business software maker saw its stock price fall more than 7.36% by 11:17 a.m., to $33.50. Shares ended the session down 4.56% at $34.51.

Progress said it expects revenue in the $85 million to $88 million range for the fiscal quarter ending in February. Analysts surveyed by Zacks had forecast revenue of $94.7 million for the quarter.

Progress, which focuses on application development and digital experience technologies, reported a 4% drop in fourth-quarter revenue, to $111.4 million, down from $116.1 million for the same period the year before.

Earnings per share rose 21% to 41 cents, compared to 34 cents during the fourth quarter of last year, the company reported.

"We achieved better-than-expected revenue and strong earnings per share in Q4, finishing a very solid financial year," said Progress CEO Yogesh Gupta, in a press release. "Our business continues to be healthy and stable, and demand for our high-productivity application development platform is growing."

Progress reported earnings of $1.38 per share, or $63.5 million, for its fiscal 2018, ended in November. Revenue came in at just under $398 million.

Progress has cut annual expenses by nearly $40 over the past two years, Paul Jalbert, the company's CFO, said in a statement, noting the company is "well-positioned for continued financial success as we enter 2019."