PSDI to miss 4Q estimates

Project Software & Development Inc., or PSDI, (Nasdaq: PSDI) said Monday it expects earnings and revenue to miss estimates for the quarter ended September 30, due to deals that will close later than expected and weakness in the Asian markets.

Shares in the software developer closed down 1.72 to 15.53 Friday.

The company said earnings for the quarter will be lower than analysts' estimates, but didn't say by how much. First Call's consensus estimate for the quarter was 16 cents a share. PSDI also said it expects to be profitable for the quarter after adjusting for goodwill amortization.

Revenue is expected to be $44 million, a 4 percent increase over the comparable period of the prior year, but lower than analysts' estimates.

Total revenues for the fiscal year ended September 30 were about $169 million, up 16 percent over the prior year. Total revenue from the MRO.COM business was $7.5 million for the quarter, and $29 million for the fiscal year, up from $6 million reported last fiscal year.

The company said its transition to industrial supply chain planning and Internet-based e-commerce is on track. It said that since the B2B supply chain market for maintenance and repair is in early adopter mode, it will continue to invest in order to gain market share.