CA Revenue Falls 2.4%

   By Tess Stynes 
 

CA Inc. (CA) said its revenue fell 2.4% during its second quarter, marking a 10th straight quarter of year-to-year revenue declines.

The company--once known as Computer Associates--makes software for mainframe computers and other hardware. In response to recent struggles in the industry, CA looked to bolster its marketing and streamline its business.

CA, also known as CA Technologies, earlier this year shed data-security business called arcserve, part of its efforts to shed noncore business and sharpen its focus.

Chief Executive Mike Gregoire said the company was beginning to see traction in the market as the result of its efforts. CA also "continued to see solid performance in connection with renewals and we maintained financial discipline across the business," he said.

For the period ended Sept. 30, CA reported a profit of $256 million, or 58 cents a share, up from $240 million, or 53 cents a share, a year earlier. Excluding stock-based compensation, accounting adjustments and other items, earnings from continuing operations earnings fell to 65 cents from 83 cents. Revenue decreased 2.4% to $1.08 billion.

Analysts polled by Thomson Reuters expected per-share profit of 62 cents and revenue of $1.09 billion.

The company said bookings fell 11% to $749 million.

For the year ending in March, the company improved its forecast for per-share earnings from continuing operations excluding currency fluctuations and one-time items by a percentage point and now expects a decline between 18% to 20%.

Write to Tess Stynes at [e-mail]

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