Updated from March 27

Shares of software maker

Manugistics

(MANU) - Get Report

were dropping the day after the company followed a better-than-expected quarterly report with a refusal to give guidance.

In recent trading, shares were down 38 cents, or 13.9%, or $2.35.

Manugistics reported a loss of $111.4 million, or $1.59 per share, as calculated by generally accepted accounting principles, on revenue of $65.5 million. Excluding charges, including $96.3 million in impaired goodwill for acquisitions, the company lost $7.6 million, or 11 cents per share. Revenue was off 21% from the year-ago quarter, in which the company lost 2 cents per share.

Revenue rose 5% sequentially and the loss was narrower than the third quarter's 18 cents per share.

For the year, the company recorded a GAAP loss of $212.2 million, or $3.04 a share on $272.4 million in revenue. The pro forma loss was $51.6 million, or 74 cents a share.

The year-over-year comparisons suffered, but the company did slightly better than Wall Street had forecast. Analysts expected Manugistics to lose 12 cents per share on $62.02 million in revenue, according to estimates gathered by First Call/Thomson Financial. For the fiscal year 2003, estimates were the company would lose 75 cents on $269.09 million in sales.

The company also said it had laid off an additional 7.4% of its workforce during the quarter, and declined to give first-quarter guidance, citing both ongoing economic problems and the war in Iraq.

While the company declined to give first-quarter guidance, some on the Street noted it is facing continuing problems. US Bancorp Piper Jaffray analyst Tad Piper wrote in a note this week that Manugistics' convertible debt of $250 million was hanging over the company's future, and that its cash hoard, currently at $127 million, would dip under the $100 million mark toward the end of 2004.

That debt will have to be restructured in the future, Piper wrote. Piper wrote that Manugistics' recovery is likely to lag a bounceback of IT spending. The reason: Many large companies are putting off buying the company's supply-chain software, which is needed more during a period of constrained supply, not as now, when overcapacity is a problem. Piper's company has a recent banking relationship with Manugistics.

In addition, the giant pension fund CalPERS criticized Manugistics in a report on corporate governance, saying there needed to be more separation between the office of CEO and chairman of the board.