Actuate 2Q profit slips 14 pct, tops analyst views

Actuate Corp.'s second-quarter profit slipped 14 percent, but the business software maker still topped analysts' expectations.

The San Mateo-based company said Monday that it earned $2.9 million, or 4 cents per share, for the April-June period, down from $3.4 million, or 5 cents per share, at the same time last year.

If not for expenses for employee stock compensation and past acquisition costs, Actuate said it would have earned 8 cents per share _ a penny above the average estimate among analysts surveyed by Thomson Financial.

Actuate's revenue remained flat at $34.6 million, about $100 million below last year's pace but slightly above analyst estimates of $34 million.

In a more closely watched gauge of a software maker's health, Actuate's sales from new licenses fell 13 percent from last year to $12.3 million. Investors focus on software licensing because those sales generate a steady stream of future revenue from product maintenance and upgrades.

Actuate affirmed its outlook for the entire year, projecting adjusted earnings of 33 cents per share on revenue $140 million. Analysts, on average, have forecast full-year earnings of 30 cents per share on revenue of $138 million.

Actuate shares gained 26 cents in extended trading after closing Monday's regular session at $4.49, down 4 cents.