SAN FRANCISCO -- Lawson Software ( LWSN) trumped the Street's second-quarter estimates despite a credit market-induced writedown that hit the company's bottom line.

The St. Paul, Minn., business application software developer reported revenue of $218.6 million, 18.5% ahead of $184.5 million in the year-ago quarter. Analysts polled by Thomson Financial were looking for $205.6 million.

Net income was $3.7 million, or 2 cents a share, vs. a loss of $3.5 million, or 2 cents a share, a year ago.

Lawson took a $5 million charge against long-term securities whose value had fallen due to uncertainty in the credit markets. The charge reduced earnings by an estimated 2 cents a share, according to the company.

Excluding items, EPS was 9 cents, a penny ahead of analysts' estimates.

License fees during the quarter increased 50% to $33 million, according to the company.

The stock was down 10 cents, or 1%, to $9.40 in recent after-hours trading.

The company said third-quarter revenue would range between $216 million and $220 million. Excluding items, the company expects EPS to be between 7 cents and 8 cents. Analysts were expecting revenue of $212.1 million and EPS, less items, of 9 cents.