Although revenues were down $115 million in its most recent quarter compared with a year ago, Ariba Inc. CEO Bob Calderoni is confident the business-to-business e-commerce software company is on the upswing.
Revenues for Aribas fiscal year 2002 first quarter, which ended Dec. 31, 2001, were $55.3 million, down from $170.3 million for the same quarter in fiscal year 2001, the company reported Tuesday. Net loss for the quarter was $161.3 million, or 63 cents per share. During the same quarter last year the net loss was reported at $347.6 million, or a loss of $1.48 per share.
"This is definitely a turn around time for the company," said Calderoni. "Weve [instituted] a three-phase plan, with sequential improvement in stability, profitability and growth. Weve made tremendous progress in the first two.
"A couple quarters ago Ariba reported losses of 20 cents per share," said Calderoni. "Weve cut this to three cents per share."
During Aribas earnings call earlier this morning Calderoni guided Wall Street analysts that the Sunnyvale, Calif., company would be profitable by June. Later, he said the company would break even no later than June.
"Were doing that without the aid of the economy," said Calderoni. "Some companies are waiting for the economy to get better, so I believe were positioned well.
Calderoni is counting on Aribas shift in direction from a one-product e-procurement company to a spend management company with a broad product suite to pull it through the doldrums.
The CEO, instated last quarter, said the spend management strategy is paying off. Several customers joined beta programs for upcoming Ariba products including Ariba Contracts, Ariba Invoice and Ariba Analysis, expected in the next 90 days.