Revenue during the quarter went down marginally by 0.16 percent to $86.10 million from $86.23 million in the previous year period. Gross margin for the quarter contracted 280 basis points over the previous year period to 54.04 percent. Operating margin for the quarter stood at negative 2.76 percent as compared to a negative 0.41 percent for the previous year period.

Operating loss for the quarter was $2.38 million, compared with an operating loss of $0.36 million in the previous year period.

However, the adjusted EBITDA for the quarter stood at $19.07 million compared with $19.42 million in the prior year period. At the same time, adjusted EBITDA margin contracted 37 basis points in the quarter to 22.15 percent from 22.52 percent in the last year period.

“We are pleased with the results for the third quarter and our outlook for the upcoming fiscal year.” said Rob Eberle, President and Chief executive officer of Bottomline Technologies. “The third quarter’s strong subscription and transaction revenue growth reflects the value customers are placing on our innovative payment product set and the solid performance against our profitability goals underscores our proven ability to execute. We are committed to driving shareholder value and confident that our strategic plan will deliver solid returns to our shareholders.”