Compuware Doubles Profit

The company beats the Street's earnings expectations.
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beat the Street's fourth-quarter earnings projections, as profit more than doubled from a year ago. But revenue failed to meet expectations.

The company said late Tuesday that its net income rose to $56.4 million, or 15 cents a share, from $26.7 million, or 7 cents a share, a year earlier.

Revenue for the quarter tallied $309.5 million, down from $318.8 million in the parallel quarter.

Analysts estimatd 13 cents a share on sales of $313.1 million.

Shares of the Detroit-based IT services provider rose 22 cents, or 3%, to $7.51 in after-hours trading. The stock closed the regular session down a nickel to $7.29.

Compuware didn't immediately provide any forward guidance.

For the current quarter, analysts anticipate Compuware will make 8 cents a share and $298.4 million in revenue.

The company also announced it has established an office of the chairman to prepare for the departure of CEO Peter Karmanos Jr. In addition to Karmanos, the office includes CFO Laura Fournier; Hank Jallos, president and COO of Products, and Bob Paul, president and COO of Covisint. The board and the office of the chairman will work together to find a new CEO.