Descartes Turns in a Strong Q2

With a focus on SaaS sales and enabling productivity improvements, the logistics management company posts healthy sales even in a sluggish economy.


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Posted on Sep 11, 2009

Descartes Systems Group, which provides global on-demand logistics management products and services, was basking in the glow of a hot summer quarter as it reported solid second-quarter results on Thursday.

Revenue totaled $18.6 million in the quarter ended July 31, 2009, up 9% from $17.1 million a year earlier. Services revenue — which includes SaaS sales — accounted for 92% of the total, coming in at $17.1 million, up from $16.0 million a year earlier. License revenue brought in $1.5 million.

Broken down geographically, the Americas, excluding Canada, accounted for 66%, or $12.2 million, of total revenue; EMEA, 14%, or $2.7 million; Canada, 18%, or $3.4 million; and Asia-Pacific 2%, or $300.000.

Net income was $800,000, down from $1.4 million in the fiscal 2009 second quarter. However, income before taxes rose 35% to $2.7 million year over year.

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