Red Hat profit rises on 42 percent revenue hike
November 5, 2008 nnyq.com editThe introduction of a new version of its Linux distribution and new JBoss software helped Red Hat increase profit to $16.2 million, or $0.08 a share, on revenue of $118.9 million in its fiscal first quarter ended May 31, the company reported Wednesday.
The report compares favorably to the year-ago quarter, in which Red Hat earned a profit of $13.75 million, or $0.07 a diluted share on revenue of $84 million.
The company released Red Hat Enterprise Linux 5 in March and also introduced new developer class and enterprise class editions of JBoss Java-based software. Red Hat acquired JBoss in 2006. Red Hat also rolled out its SOA strategy in the quarter.
Red Hat said that after excluding one-time charges and adjusting for stock compensation and tax expense, its adjusted net income for the quarter was $33.7 million, or $0.16 per diluted share
Red Hat distributes open-source Linux software and charges companies a subscription to provide updates and other technical support. The company said $103 million of the total $118.9 million in quarterly revenue was subscription revenue.
Charlie Peters, CFO of Red Hat, said the company forecasts revenue of between $124 million and $126 million in the current quarter, which ends Aug. 31. The company expects to earn $0.17 per share in the quarter, excluding one-time expenses and other charges, he said.
This story was updated on June 27, 2007
