PeopleSoft Revenues, Income Tumble
President and CEO Craig Conway says the company posted "solid" results despite the economy.PeopleSoft Inc., which has been a star performer in an enterprise software space sagging under the weight of the slowing economy, saw revenues and profits fall in the first quarter of 2003 as license revenues took a big hit. The Pleasanton, Calif., companys overall revenues dropped to $460.3 million from $483.3 million in the same period last year. License revenues were down to $80.8 million from $133.3 million in the year-ago period.
In response to the drop-off in revenues, PeopleSoft announced a restructuring that would cut 200 jobs and close its Santa Clara, Calif., office, resulting in a $12 million charge to be taken in the second quarter. PeopleSoft had 8,180 employees at the end of March.