SkillSoft has announced second-quarter revenue up 28% at $71.5m as profit widened substantially, boosted by its recent acquisition of NETg, an e-learning software provider.
The Nashua, New Hampshire-based company said the quarterly revenue includes incremental deferred revenue of $10.8m from its $285m acquisition of NETg from Thomson last October. Net income for the quarter was $12.4m, up from $4.8m a year ago.
SkillSoft also updated its guidance for the full fiscal year, adjusting revenue its revenue range to $272m-$280m, up from the previous range of $234m-$242m. It also raised its net income range to $31m-$35m, up from $20.5m-$23m.
SkillSoft is targeting the corporate training management market, which is estimated to be worth $13.2bn. Its acquisition of NETg and its Referenceware platform, virtual information and learning technologies, and blended content-authoring software will help to bolster its e-learning suite.
‘We’re focused on the integration of NETg into our operations, said SkillSoft CEO Chuck Moran. But he warned the company could incur costs as it makes the transition. We will also incur costs to stabilize NETg operations that we are dependent on, in the short term, until the business integration is completed which we expect to substantially accomplish in 12 months, he said.