Supply chain software provider Logility, Inc. announced today what it said were record financial results for its third fiscal quarter, with total revenues climbing 12% year over year to $11.3 million.
The Atlanta-based company, majority owned by American Software, said that GAAP net earnings for the quarter ended Jan. 31, 2007, inched up slightly to $2 million, or $0.15 per fully diluted share, compared with $1.9 million, or $0.14 per share, in the like period a year ago.
Software license fees, however, slipped again this quarter, off 3% from the year earlier period to $3.9 million. Company officials were quick to point out, though, that software license fees rose 17% when compared with the company's second fiscal quarter ended Oct. 31, 2006.
For the third quarter, service-related and other revenue jumped 31% year over year to $1.8 million and maintenance revenues rose 20% to $5.6 million.
On a conference call with financial analysts this morning, Logility President and Chief Executive J. Michael Edenfield said he was pleased with the financial results. He said a number of market factors were driving the company's overall growth, including a stable U.S. economy, what he called the "globalization" of customer supply chains, and a trend toward sourcing offshore, and pressure facing many manufacturers from mass merchandisers to make their supply chains more efficient.
"Logility's organizational stability continues to be a competitive advantage," he added.
Edenfield noted that Logility signed contracts with 23 new customers during the quarter. New and existing customers in the quarter included Argo Tea, Barilla America, Lion Brand Yarn, NB Coatings, and Waterpik Technologies. On the product front, Logility's Demand Management, Inc. unit introduced Demand Solutions Pipeline, an application said to provide secure, encrypted access to supply chain data.
For the first nine months of fiscal 2007, Logility reported total revenues of $30.9 million, up 14%, and GAAP net earnings of $4 million, or $0.30 per share, down from the $6.5 million, or $0.49, reported in the comparable period last fiscal year.
The company's flagship product line is Logility Voyager Solutions, which spans such functions as value chain collaboration, performance management, demand chain planning, global sourcing management, supply chain planning, transportation management, and warehouse management. Logility claims 1,100 customers worldwide.
Logility will hold its annual user conference March 21-23 in Atlanta.