After a lackluster 2006, JDA Software Group
JDA's software helps its 5,500 customers, including PetSmart
In its fiscal first quarter, JDA increased sales nearly 90% to $90.7 million, while its license revenues increased by more than 200%, to $61.5 million. As I've noted before, license revenues are a particular plus, since they often lead to continuing maintenance and service fees. JDA's bottom line was also impressive; net income increased more than tenfold, to $5.4 million or $0.16 per share.
Last year, CEO Hamish Brewer called his company's deal for Manugistics a "perfect match," predicting resultant cost savings of $25 million to $30 million within its first year. JDA even attracted a $50 million investment from savvy private equity firm Thomas Cressey to carry out the transaction. So far, Hamish has made good on his promise. JDA picked up two key product lines from Manugistics, and it's been aggressively cross-selling them into its channel.
The company faces intense competition from SAP
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