Computer Associates says profit rose 34% in 4th period; stock price jumps

Article Abstract:

Computer Associates International Inc (CA) says its profits for the 4th qtr rose an unexpected 34%, resulting in $213 million, or $1.27 per share, in profits and soaring stock prices. The software vendor says early figures for the fiscal 4th qtr show the company's earnings grew to $213 million compared to the $159 million it earned over the same period in 1994. CA stocks were some of the most-active market issues as its stock prices rose $5.25 per share to $68.625, a 8.3% rise, in composite training on the NYSE. Analysts are surprised at CA's performance, pointing out this is the eighth qtr in a row the company has outperformed analysts' expectations. The company has profited from the industry's shift to client/server computing, with client/server revenues more than doubling for the qtr. Mainframe revenues, which constitute almost 70% of CA's business, climbed only a little over 10%.

Financial & Acctg Software Pkgs, Financial software, Securities, Company securities, Accounting software, Integrated accounting software, Company Financial Information

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Microsoft, CA and Network Associates are expected to report strong earnings

Article Abstract:

Analysts expect software vendors Microsoft, Computer Associates and Network Associates to report strong earnings for the Jun 1998 qtr. Microsoft's should exceed its Jun 1997 qtr earnings by approximately 20%, from 40 cents a share to 48 cents a share after a stock split adjustment, according to a First Call survey. Computer Associates's quarterly per-share earnings are expected to range between 32 cents and 35 cents. By comparison, the mainframe and server computer vendor for big businesses showed 28 cents a share in the Jun qtr 1997, on revenue of just more than $1 billion. BT Alex Brown projects Network Associates to report $51 million in operating earnings, or 40 cents a share, on revenue of $210 million. The surging security and management software manufacturer listed operating earnings of 28 cents a share and revenue of $145 million in the Jun 1997 qtr.

Computer Software, Software, Microsoft Corp., Company sales/revenue, MSFT, Network Associates Inc., NETA

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IBM launches new Internet products in niche left by Microsoft, Netscape

Article Abstract:

IBM held a press conference at which it restated its commitment to the Internet server software market and outlined its changing relationships with Microsoft and Netscape. While Netscape officials claim their relationship with IBM is as strong as ever, IBM officials say that once Lotus' Domino Server product ships in Dec 1996, the relationship will change. IBM officials downplayed Microsoft's potency in the server software market, claiming they trail behind IBM in the production of sophisticated vertical market solutions for international markets, lack an adequate support staff and have been distracted from their core software business by Microsoft Network and other electronic publishing forays. At the conference IBM also announced more than a dozen new participants in World Avenue, its Internet shopping mall.

Communication Software Pkgs, Product development, Internet, Marketing, Internet services, International Business Machines Corp., IBM, Company internet strategy, Telecommunications software

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