Tool Makers See Good, Bad Second Quarters

 
 
By Darryl K. Taft  |  Posted 2002-10-17
 
 
 

Software development tool makers Rational Software Corp. and Compuware Corp. on Thursday announced a mixed bag of second-quarter earnings news.

Rational reported a net loss of $19.4 million, while Compuware a net income of $33.8 million.

Rational, of Cupertino, Calif., reported revenues of $154.5 million. For the same period a year ago, the company lost $21.6 million on revenues of $163.7 million.

Rational officials said the company incurred restructuring and other charges in the amount of $12.4 million during the quarter, of which $4.1 million was related to the companys decision to halt its hosted development service.

Company officials also said they expect revenues in the current quarter, which will end Dec. 31 to range between $155 million and $165 million.

Meanwhile, Farmington Hills, Mich.-based Compuware reported revenues of $358 million. During the same period last year, the company reported a net increase of $26.5 million on revenues of $427.8 million.

Though, like Rational, Compuware markets development tools and utilities to help developers at various points along the software development lifecycle, Compuware pulls a majority of its revenues from professional services. Compuware officials said the breakdown of the companys second-quarter revenues include $87 million from software licenses, $103 million from maintenance fees and $167.9 million from professional services.

Rocket Fuel