Jive Software (JIVE) saw its loss narrow to $0.74 million, or $0.01 a share for the quarter ended Sep. 30, 2016. In the previous year period, the company reported a loss of $8.83 million, or $0.12 a share. On an adjusted basis, net profit for the quarter stood at $3.68 million, or $0.05 a share compared with a net loss of $2.26 million, or $0.03 a share in the last year period.
Revenue during the quarter went up marginally by 1.64 percent to $50.72 million from $49.90 million in the previous year period. Gross margin for the quarter expanded 470 basis points over the previous year period to 68.30 percent. Operating margin for the quarter stood at negative 1.19 percent as compared to a negative 17.55 percent for the previous year period.
Operating loss for the quarter was $0.60 million, compared with an operating loss of $8.76 million in the previous year period.
However, the adjusted operating profit for the quarter stood at $3.83 million compared to operating loss of $2.19 million in prior year period.
"Our performance in the third quarter exceeded guidance across the board," said Elisa Steele, chief executive officer of Jive Software. "GAAP loss from operations for the third quarter was $603,000, which was a strong improvement of $8.2 million compared to one year ago. We delivered non-GAAP operating profitability of $3.8 million, which represents the second quarter in a row that we have accomplished this important milestone as a public company."
For the fourth-quarter, Jive Software forecasts revenue to be in the range of $49.50 million to $50.50 million. The company forecasts adjusted operating income to be in the range of $2 million to $3 million. On an adjusted basis, the company expects diluted earnings per share to be in the range of $0.02 to $0.04.
For financial year 2016, Jive Software forecasts revenue to be in the range of $201.90 million to $202.90 million. The company forecasts adjusted operating income to be in the range of $5.40 million to $6.40 million. The company expects diluted earnings per share to be in the range of $0.06 to $80.20 on adjusted basis.
Operating cash flow turns negativeJive Software has spent $5.53 million cash to meet operating activities during the nine month period as against cash inflow of $4.53 million in the last year period. Cash flow from investing activities was $4.91 million for the nine month period as against cash outgo of $7.22 million in the last year period.
The company has spent $2.21 million cash to carry out financing activities during the nine month period as against cash outgo of $0.41 million in the last year period.
Cash and cash equivalents stood at $7.06 million as on Sep. 30, 2016, down 59.53 percent or $10.39 million from $17.45 million on Sep. 30, 2015.
Working capital declines
Jive Software has witnessed a decline in the working capital over the last year. It stood at $22.02 million as at Sep. 30, 2016, down 15.20 percent or $3.94 million from $25.96 million on Sep. 30, 2015. Current ratio was at 1.17 as on Sep. 30, 2016, down from 1.18 on Sep. 30, 2015.
Days sales outstanding went down to 78 days for the quarter compared with 86 days for the same period last year.
At the same time, days payable outstanding went down to 24 days for the quarter from 37 for the same period last year.
Debt comes down significantlyJive Software has recorded a decline in total debt over the last one year. It stood at $1.80 million as on Sep. 30, 2016, down 57.14 percent or $2.40 million from $4.20 million on Sep. 30, 2015. Total debt was 0.89 percent of total assets as on Sep. 30, 2016, compared with 1.78 percent on Sep. 30, 2015. Debt to equity ratio was at 0.03 as on Sep. 30, 2016, down from 0.06 as on Sep. 30, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
