webMethods, Agency.com surpass analyst forecasts

3 min read
webMethods (Nasdaq: WEBM) posted a marginal profit and easily beat the consensus forecast in the second quarter.

After market close Wednesday, the vendor of software for connecting procurement and supply chain systems of different companies for business-to-business commerce reported a fiscal second quarter profit of $64,000, or breakeven on a per-share basis, excluding special charges. First Call''s survey of 11 analysts predicted a loss of 11 cents per share for the quarter ended Sept. 30.

Shares of webMethods rose to 93.375 in afterhours activity on the Island electronic communications network, following the release of quarterly results. webMethods stock closed Wednesday''s regular trading down 11 to 85 ahead of the second quarter report.

Including amortization and charges related to the acquisition of Active Software, webMethods lost $48.8 million, or $1.04 per share.

Second quarter revenue increased 310 percent year-over-year to $45.7 million. "Our second quarter was a great success," said Phillip Merrick, president and CEO. "Breaking even in the same quarter that we completed our acquisition of Active Software is a powerful indication of the success of this integration."

First Call analysts weren''t expecting webMethods to report a profit for another four quarters.

Other companies reporting quarterly results Wednesday:

  • iVillage (Nasdaq: IVIL)
  • beat analyst estimates but warned of slower growth in the fourth quarter.

    The provider of online content for women reported a third quarter loss from continuing operations of $16.2 million, or 55 cents a share, excluding amortization. First Call consensus predicted a loss of 69 cents per share.

    However, interim CFO Scott Levine said iVillage now sees fourth quarter revenue flat or falling by as much as 10 percent sequentially. "Given the sector issues for all ad-supported media, our visibility has declined," Levine said, during an Wednesday afternoon conference call with analysts.

    iVillage remains comfortable with consensus estimates that currently call for a fourth quarter loss of $6.7 million, before interest, taxes, depreciation and amortization.

    The company expects 2001 revenue growth in the high 20s or low 30s on a percentage basis, CEO Doug McCormick said.

    Third quarter revenue rose to $20.2 million from $8.7 million a year ago as the company added 30 brands to the site. Page views grew 22 percent to 204 million average monthly page views from 166 million in the second quarter and 80 percent from the year-ago''s 113 million.

  • Peapod (Nasdaq: PPOD)
  • on Wednesday posted a wider-than-expected loss for the third quarter.

    The online grocer said its loss for the third quarter widened to $9.8 million, or 55 cents a share, missing analysts'' consensus estimates by 9 cents, versus a loss of $9.4 million, or 53 cents a share, in the year-ago quarter.

    Wall Street analysts on average were expecting the company to post a loss of 46 cents a share, according to First Call. Sales for the quarter rose to $21.8 million from $16.5 million in the year-ago quarter.

    Peapod President and Chief Executive Marc can Gelder said in a statement on Wednesday the company hopes to see an operating profit in its Chicago market, the company''s largest area of operations, by mid-2001.

  • Agency.com (Nasdaq: ACOM)
  • on Wednesday posted third-quarter revenues and cash earnings per share that topped Wall Street estimates.

    The Internet consultant reported third quarter earnings of $3.1 million, or 7 cents per share, excluding special charges. First Call consensus predicted a profit 6 cents per share.

    Revenue grew 14 percent over the second quarter to just over $57.3 million. That also beat analyst expectations of $56.4 million. >