Revenue dropped to $7.3 million in the quarter ended October 31, 2006, from $8.5 million in the year-earlier quarter. The company's net loss was $3.7 million, or 18 cents per share, compared to $3.4 million, or 19 cents per share, the year earlier.
The SCO Group is, and others on the basis that open-source Linux inappropriately includes technology from the proprietary Unix code base it purports to own. Legal costs were $2.2 million for the quarter. The company hopes its Unix business will provide positive cash flow in fiscal 2007, which began November 1.