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BEA Systems


on Thursday reported second-quarter earnings in line with Wall Street estimates on revenue that rose 8% from a year ago.

The San Jose, Calif.-based company reported GAAP net income of $25.9 million, or 6 cents a share, in the second quarter, compared to net income of $20.2 million, or 5 cents a share, in the same period a year earlier.

Excluding charges, BEA said it earned pro forma net income of 7 cents a share in the second quarter, compared to 6 cents a share a year earlier. That was in line with the Wall Street consensus estimate of gathered by Thomson First Call and a penny better than the company's guidance of 6 cents a share.

Revenue rose 8% year-over-year to $245 million. Analysts were expecting revenue of $244.7 million and the company's guidance was for revenue of between $237.3 million and $249.2 million, or flat to up 5% sequentially.

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That guidance, however, reflected concern about the affect of SARS on BEA's Asian business, which the company had feared could eat into revenue by 2% to 5%.

In an note this week, Pacific Growth analyst Jason Brueschke indicated he did not expect the SARS impact to materialize. He also said he expects BEA to report a significant number of very large deals, but remains skeptical of the company's entry into the integration market. He has an underweight rating on BEA and his firm hasn't done banking with the company.

BEA's License revenue increased 2.7% to $127.4 million in the quarter.

During the quarter, BEA made a

bet-the-farm launch of a new WebLogic platform that includes the company's application server, BEA's core product but part of a maturing market, as well as an integration and development software. Earlier this month, some analysts expressed disappointment that BEA didn't parade any customers who have tried the product in beta form.

Shares of BEA inched up 5 cents, or .4%, Thursday to close at $12.64. In after-hours trading, shares sank to $12.18.