The company based in Israel and the U.S. reported net income fell to $1.6 million, or 5 cents a share, for the three months ended Dec. 31. That compares with net income of $3.8 million, or 12 cents a share, in the prior-year quarter.
Excluding compensation expenses and other special items, ClickSoftware's earnings amounted to $2.2 million, or 7 cents a share, the company said.
The results missed analysts' consensus forecast for earnings of 9 cents a share, according to FactSet.
Revenue increased 8 percent to $18.5 million from $17.2 million in the prior-year period. Analysts had expected revenue of $18 million.
The company said software license revenue for the quarter rose 22 percent to $6.8 million, while service and maintenance revenue inched up 1 percent to $11.7 million.
For the full year, the company reported a profit of about $9 million, or 28 cents a share, compared with net income of $12.5 million, or 40 cents a share, in 2009. Revenue rose to $71 million from $61.1 million the year before.
Shares slipped 3 cents to $7.55 in aftermarket trading after falling 29 cents, or 3.7 percent, to $7.58 during the regular session.