SAN RAFAEL (dpa-AFX) - Design software maker Autodesk, Inc. (ADSK) said Thursday after the markets closed that its second quarter profit fell 9% from last year, as its revenue growth slowed due to a weak global economy.
The company's quarterly earnings per share, excluding items, also came in below analysts' expectations as did its quarterly revenue. The results also fell short of the company's own forecast.
At the same time, the company forecast third quarter revenue and earnings below analysts' current consensus estimates and cut its revenue growth outlook for the full year.
'Our own execution challenges, combined with an uneven global economy, resulted in disappointing revenue results for the quarter,' said Carl Bass, Autodesk president and CEO. 'Organizational changes we made within the company earlier this year slowed us down during the quarter.'
The company also announced restructuring plans, which include some job cuts, to accelerate its transition to cloud and mobile computing.
Autodesk shares are currently losing 21.87% in after hours trading after closing the day's regular trading session at $35.71, up 22 cents. The shares trade in a 52-week range of $24.63 to $42.69.
Second quarter revenue from the Americas rose 4% to $199 million, while revenue from EMEA declined 1% to $210 million and revenue from Asia Pacific surged 12% to a record $161 million. Revenue from emerging economies remained flat with last year at $88 million and represented 15% of total revenue in the second quarter.
Revenue from the company's Platform Solutions and Emerging Business increased 10% from a year earlier, while revenue from its Architecture, Engineering and Construction business grew 2% from last year. Revenue from the company's Media and Entertainment business segment fell 10% from a year ago.
For the second quarter ended July 31, 2012, the company reported net income of $64.6 million or $0.28 per share, compared to $71.2 million or $0.30 per share for the year-ago quarter.
Excluding items, adjusted net income for the second quarter rose to $111.1 million or $0.48 per share from $103.5 million or $0.44 per share in the prior year quarter.
On average, 19 analysts polled by Thomson Reuters expected the company to earn $0.49 per share for the second quarter. Analysts' estimates typically exclude special items.
Operating margin for the quarter narrowed to 16% from 17% a year ago, while adjusted operating margin was consistent with last year's 25%.
Revenue for the second quarter rose 4% to $568.7 million from $546.3 million in the same quarter last year. Seventeen analysts had a consensus revenue estimate of $593.40 million for the second quarter.
In June, Autodesk had backed its second quarter outlook, saying it still expected revenue $580 million and $600 million, earnings iof $0.29 to $0.34 per share and adjusted earnings of $0.46 to $0.51 per share.
Autodesk said Thursday that it is reducing its overall staffing levels in the near-term, but that it will continue to invest in key development areas. The company also plans to consolidate certain leased facilities.
The company expects to take a pre-tax charge related to the restructuring of $50 million to $60 million, about $40 million to $45 million of which will be taken in the third quarter and the balance will be taken in the fourth quarter.
In addition, Autodesk said it is implementing further expense control measures, such as reducing non-sales related travel and the number of its contractors.
Looking forward to the third quarter, the company forecast revenue of $550 million to $570 million, earnings of $0.02 to $0.07 per share and adjusted earnings of $0.40 to $0.45 per share. Analysts currently expect the company to earn $0.50 per share on revenue of $601.24 million for the third quarter.
For the current fiscal year ending in January 2013, the company now expects revenue to grow 4% to 6%, compared to its prior expectations of a 10% growth.
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