BMC Software (BMC) will reduce its previously posted fourth-quarter earnings by 7 cents a share because of weaknesses in internal controls that led to an incorrect calculation of income taxes and the classification of certain assets.
Instead of earning $66.4 million, or 31 cents a share, on a GAAP basis, the company will now record earnings of $51.6 million, or 24 cents a share, in the quarter, BMC announced after Wednesday's closing bell.
The additional tax obligation totals $14.8 million. It does not affect fourth-quarter revenue, GAAP or non-GAAP operating expenses, GAAP or non-GAAP operating income, or cash flow from operations.
Shares of BMC shed 50 cents, or 2%, to $21.01 in after-hours trading on Instinet.