CIMdata PLM Industry Summary Online Archive
15 May 2012
Financial News
Rand Worldwide Reports Third Quarter Fiscal Year 2012 Results
Rand Worldwide, Inc, a global provider of technology solutions to organizations with engineering design and information technology requirements, announces its financial results for the quarter and nine months ended March 31, 2012.
For its third fiscal quarter ended March 31, 2012, Rand Worldwide, Inc. reported total revenues of $22.4 million as compared with $27.4 million in the same quarter for the prior fiscal year. The Company's overall gross margin percentage was 50.6%, up from 46.0% and total selling, general and administrative expenses were $9.1 million, an 8.2% decrease from same period in the prior fiscal year. As a result, the Company reported net income of $1,639,000, or $0.03 per fully diluted share, compared to net income of $2,070,000, or $0.04 per share, for the same period in the prior year.
For the nine months ended March 31, 2012, revenues totaled $66.8 million as compared with $65.9 million in the prior year. Year to date net income was $3,080,000, or $0.05 per fully diluted share, a significant improvement over net income of $1,172,000, or $0.01 per share, reported for the same period in the prior year.
Lawrence Rychlak, president and chief financial officer at Rand Worldwide commented, "This quarter's results were very positive in terms of our overall gross margin percentages and our net income levels as they both exceeded our expectations and were the best of the fiscal year." Mr. Rychlak continued, "In the third quarter of last year we realized the largest single sale of software products to one customer which drove our revenues and net income to unusually high levels. This sale, coupled with a shortfall in our desired sales headcount and productivity, made for a difficult revenue comparison from the third fiscal quarter of last year to the current quarter."
Marc Dulude, chief executive officer at Rand Worldwide, added, "We are fully committed to expanding our sales force to increase sales capacity and to provide the training and support to all our sales employees to make them fully productive." Mr. Dulude continued, "I am pleased that we continue to deliver very positive operating results and note that the strength of our business model provides a platform for continued growth and profitability."
Conference call details
Rand Worldwide will hold a conference call to discuss its third quarter results at 11:00 am ET on Tuesday, May 15, 2012. The dial-in numbers for the conference call are 1 (800) 510-0146 (domestic) or 1 (617) 614-3449 (International), and enter the passcode (29981828)). A live, listen-only Webcast of the conference call will be available to all investors in the Investor Relations section of the Company's Web site.
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