Profits shrink on last year for cloud computing company due to net tax benefits in 2012.
Cloud computing company Citrix’s second quarter revenue grew to $730m (£476m) but profit shrank by nearly a third to $64m compared to the same period last year, according to its financial results.
This decrease was largely down to a $22m net tax benefit which contributed to the $92m profit recorded in 2012, said the firm, which recorded revenue growth of 19% up from the $615m made in the second quarter last year.
Product and license revenue contributed to this improvement, bettering the year-ago quarter by 21%, as did SaaS revenue – increasing 15%.
License updates and maintenance also brought in an extra 18% on last year while professional services improved by 25% compared to the same period in 2012.
The Americas contributed the most to revenue growth, at 24%, with the Europe, Middle East and Africa region second with 16% and the Pacific area following with 10% growth.
Cash flow from all operations stood at $209m, compared to $168m in 2012.
Citrix president and CEO Mark Templeton said: "I’m pleased with our overall Q2 performance. We’re executing well on product, go-to-market and partnership investments to drive growth in business mobility and cloud infrastructure.
"Everywhere, I continue to hear from CIOs about how they are challenged by the transformation, consumerisation and fragmentation that is taking place in computing.
"Our long-term strategy remains focused on helping our customers as they deal with these areas – using cloud services and business mobility to improve the security and agility of their infrastructure."
Citrix has targeted net revenue of $730m to $740m in the third quarter of 2013, with earnings on each share predicted to be around $0.41 to $0.42.
It also hopes to make up to $2.98bn net revenue for the whole of this year.