Callidus Software Inc. (CALD) saw its loss widen to $6.90 million, or $0.11 a share for the quarter ended Mar. 31, 2017. In the previous year period, the company reported a loss of $4.54 million, or $0.08 a share.

Revenue during the quarter grew 20.18 percent to $58.14 million from $48.38 million in the previous year period. Gross margin for the quarter contracted 183 basis points over the previous year period to 60.51 percent. Operating margin for the quarter stood at negative 11.65 percent as compared to a negative 9.43 percent for the previous year period.

Operating loss for the quarter was $6.78 million, compared with an operating loss of $4.56 million in the previous year period.

However, the adjusted operating income for the quarter stood at $4.06 million compared to $3.28 million in the prior year period. At the same time, adjusted operating margin improved 21 basis points in the quarter to 6.99 percent from 6.78 percent in the last year period.

"Q1 was a great start to 2017 building on the momentum of a record-breaking 2016. We posted another quarter of over 30% SaaS revenue growth and are on target to meet our full-year goals," said Leslie Stretch, president and chief executive officer, CallidusCloud. "In the quarter we were recognized as a leader in the Gartner Inc. 2017 Magic Quadrant for Sales Performance Management, the Forrester Wave™ for Configure-Price-Quote Solutions, G2 Crowd's Best Software for HR Teams, Gartner’s FrontRunners Quadrant for Learning Management and we were named a “Great Workplace" by Independent Analysts at Great Place to Work."

For the second-quarter, Callidus Software projects revenue to be in the range of $58.40 million to $59.40 million. The company projects operating loss to be in the range of $6.40 million to $6.90 million. The company projects adjusted operating income to be in the range of $4 million to $5 million.

For fiscal year 2017, Callidus Software projects revenue to be in the range of $241 million to $246.50 million. The company projects operating loss to be in the range of $21.50 million to $23 million. The company projects adjusted operating income to be in the range of $21 million to $23.50 million.

Operating cash flow declines
Callidus Software Inc. has generated cash of $5.71 million from operating activities during the quarter, down 6.63 percent or $ 0.41 million, when compared with the last year period.

The company has spent $2.78 million cash to meet investing activities during the quarter as against cash outgo of $1.89 million in the last year period.

The company has spent $8.14 million cash to carry out financing activities during the quarter as against cash inflow of $0.30 million in the last year period.

Cash and cash equivalents stood at $143.10 million as on Mar. 31, 2017, up 74.87 percent or $61.27 million from $81.83 million on Mar. 31, 2016.

Working capital increases sharply
Callidus Software Inc. has recorded an increase in the working capital over the last year. It stood at $112.32 million as at Mar. 31, 2017, up 119.92 percent or $61.25 million from $51.07 million on Mar. 31, 2016. Current ratio was at 1.78 as on Mar. 31, 2017, up from 1.49 on Mar. 31, 2016.

Days sales outstanding went down to 74 days for the quarter compared with 81 days for the same period last year.

At the same time, days payable outstanding went up to 19 days for the quarter from 18 for the same period last year.