Shares of business intelligence software maker Actuate Corp tumbled yesterday after it announced it will make a loss for its third quarter – its first miss in 25 quarters as a publicly held firm.
South San Francisco-based Actuate now expects to report a loss of between $0.03 $0.04 cents per share for its quarter ended September 30. Analysts had forecast a loss of $0.02.
Revenue for the quarter is projected at $23 million to $24 million against analysts’ forecasts of $27.6 million. License revenue is expected to be in the $8 million to $8.5 million range.
The lowered estimates sent Actuate’s stock down by over 20% during yesterday’s midday trading on Nasdaq to a six month low of $2.78.
Actuate blames the delay in closing two large deals for this shortfall – one with a US bank and another with the federal government.
Actuate CEO Pete Cittadini admitted to being very disappointed with the results in a conference call with investors. But he pointed out that tech spending remained sluggish in most software sectors with many deals being pushed back to the last minute.