NetSuite Q4 Loss Narrows As Revenue Increases; Provides Q1 And FY08 Guidance

Posted on Thursday, February 14, 2008 9:58 PM
(RTTNews) - Thursday, NetSuite Inc. (N), a vendor of on-demand, integrated business management application suites, said the net loss for the fourth quarter of 2007 narrowed as revenue increased. The company also provided forecast for first quarter and fiscal 2008. The company said the net loss for the fourth quarter ended December 31, 2007 narrowed to $3.3 million or a loss of $0.22 per share from $8.1 million or a loss of $1.25 per share in the year-ago period. Net loss on a non-GAAP basis for the three-month period narrowed to $842 thousand or a loss of $0.01 per share from $3.9 million or a loss of $0.07 per share in the prior year quarter, an improvement of 78%. On average, 8 analysts surveyed by First Call/Thomson Financial expected the company to incur a loss of $0.03 per share for the quarter. Gross profit for the three-month period rose to $22.15 million from $13.65 million in the year-ago quarter. Revenue for the quarter increased to $31.73 million from $20.19 million in the same quarter last year. 7 analysts had a revenue consensus estimate of $30.52 million for the three-month period. For all of 2007 net loss on a non-GAAP basis narrowed to $5.7 million or a loss of $0.10 per share from $20.4 million or a loss of $0.36 per share in 2006, an improvement of 72%. On a GAAP basis, net loss was $23.9 million or a loss of $2.45 per share compared to $35.7 million or a loss of $6.42 per share in 2006. Revenue for all of 2007 surged to $74.78 million from $44.20 million in 2006. Looking ahead, for first quarter of fiscal 2008 the company expects non-GAAP loss is expected to be in $1.5 million to $0.5 million and loss per share to be in the range of about $0.02 to $0.1 on revenue in the range of $33 million to $34 million. For the full year 2008 the company expects non-gaap net loss in the range of $2.5 million to $0.5 million or loss per share in the range of about $0.04 to $0.01 per share. Revenues are expected to be in $153 million to $156 million. Currently, Street analysts expect the company to incur a loss of $0.02 per share on revenue of $152.75 million for 2008. N rose $0.79 or 3.48% and closed Thursday's regular trading session at $23.49. After hours, N declined $0.89 or 3.79% and traded at $22.60. For comments and feedback: contact editorial@rttnews.com
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