Iona Technologies (Nasdaq: IONA) posted third quarter earnings of 12 cents a share Wednesday, beating First Call's estimate of 10 cents a share.
Shares in the Irish-based software firm that specializes in middleware software that links mainframe computers and client/server networks, closed Tuesday at 15 1/8. The stock suffered a decline ahead of the earnings announcement.
Net income of $2.4 million, or 12 cents a share, in the third quarter excludes a one time charge of $1.7 million for the write off of assets related to the company's relocation of its US-based headquarters. The results are down from the net income of $3.8 million, or 18 cents a share, in the 1998 period. Revenue of $26.5 million for the quarter compared favorably with $22.4 million in the 1998 period, an increase of 18 percent.
"In addition to solid sales execution, our performance was the result of the successful management of expenses and headcount,'' explained David James, IONA Technologies' chief financial officer in a company release.
During the quarter, Iona acquired all issued and outstanding shares of Aurora Technologies, Inc., an Arlington, Virginia-based provider of middleware consulting services. It also relocated its US Headquarters from Cambridge, MA to a larger facility in Waltham, MA in a move toward US expansion.