Sterling Software Announces Q4 Financials

Dallas-based Sterling Software Inc., a software and services provider for the application development, information management, systems management and federal systems markets, announced record revenue, income and earnings per share for the company's fourth fiscal quarter ended September 30, 1998.

"This marks the 40th consecutive quarter of continuous growth for the company -- an unprecedented 10 years of strong quarterly results," Sterling L. Williams, the company's president and chief executive officer, said in a company press release.

The income and earnings per share were before one-time charges related to the company's acquisitions of Synon Corporation and Mystech Associates in July 1998. All amounts have been restated to include the historical results of Synon for periods prior to July 31, 1998.

Fourth quarter revenue was $192.7 million and fourth quarter net income before one-time charges was $37.4 million, up 57 percent from last year's $23.9 million. Fourth quarter earnings per share before one-time charges increased 48 percent to $.43, compared to fourth quarter 1997 earnings per share of $.29. Including the one-time acquisition-related reorganization charges, the company had 1998 fourth quarter earnings per share of $.09.

Revenue for the year was $719.9 million, up 26 percent compared to $569.2 million last year. Net income for the year before one-time charges was $105.9 million, up 47 percent from last year's $72.3 million. The company's largest business, Application Management, had a fourth quarter revenue of $88.5 million.

--L. Greenemeier