Warning week continued apace Wednesday, with
becoming the latest software company to say it won't hit its financial targets for the March quarter.
CEO Hamish Brewer said sales in the Americas dropped by more than half compared with the last quarter of 2004. The unpleasant surprise pushed the stock down 4% in late trading.
JDA, which sells software to help retailers manage supply chains, said revenue in the first quarter likely will total about $50 million, down from $55.2 million a year ago. Also down: license revenue, slipping to $10.2 million from $14.6 million in the first quarter of 2004.
Analysts polled by Thomson First Call were expecting sales of $52.7 million.
The company expects to earn a penny or two a share, compared with a net loss of 2 cents per share a year ago. Excluding certain costs, the company will earn 7 cents or 8 cents a share, well below the 11-cent Wall Street analyst expectation.
Brewer said software sales in the Americas came in at $6.5 million for the first quarter of 2005, compared with $15.3 million for the fourth quarter of 2004. "The sequential decrease was primarily due to the lack of large deals and a significant number of transactions that were delayed into future quarters," he said.
JDA dropped 55 cents to $12.75 after hours.