Subscription and support revenue up 20% year-on-year
NetSuite, a provider of cloud-based financials/ERP software suites, has reported total revenue of $53.4m for the first quarter ended 31 March 2011, representing a 21% increase from $44.3m over the prior year.
The company said that subscription and support revenue for the first quarter was $45.8m, up 20% over the same period in the prior year.
Operating loss for the first quarter of 2011 was $7.4m, compared to an operating loss of $6.8m in the first quarter of 2010.
The company’s net loss for the first quarter of 2011 was $7.7m, or $0.12 per share, as compared to a net loss of $6.8m, or $0.11 per share in the first quarter of 2010.
NetSuite CEO Zach Nelson said that at the end of Q4, they felt they were hitting the tipping point in ERP as customers large and small began to move from pre-web client/server offerings to NetSuite’s cloud-based offering.
"Our great Q1 reinforces that this mass migration from legacy Microsoft Dynamics GP/Great Plains and SAP to NetSuite is accelerating in 2011," Nelson said.
"Our major investment to bring the benefits of NetSuite to the world’s largest companies is also paying dividends as we saw our highest ever average selling price. NetSuite is quickly becoming the safe choice for the world’s largest enterprises as they look to consolidate their mid-tier applications on NetSuite’s cloud-based platform."