JDA Software's 4th-qtr Profit Falls On Charges

SCOTTSDALE, Ariz. (AP) - JDA Software Group Inc., which makes programs to help retailers manage inventory, said Tuesday its profit fell in the fourth quarter, hurt by charges related to litigation costs.

The company reported net income of $5.8 million, or 14 cents a share, for the three months ended Dec. 31. That compares with net income of $8.5 million, or 24 cents a share, in the prior-year quarter.

Excluding a $14 million pretax, non-cash charge related with litigation and other special items, JSA Software said it earned 61 cents a share.

On that basis, the company's results beat analysts' consensus earnings forecast of 57 cents a share, according to FactSet.

Revenue jumped 58 percent to a record $168.8 million from $107.1 million in the prior-year quarter, less than analysts' forecast of $170.5 million.

Software license and subscription revenue in the fourth quarter rose 47 percent to $42 million. The company noted that its results included the acquisition early last year of rival software maker i2 Technologies.

"The fourth quarter was by far the strongest we've ever delivered in revenue and profits, but what's most exciting is that there was nothing 'one-time' about this performance; we have simply taken the company to the next level," said Hamish Brewer, JDA Software's president and chief executive.

For the full year, JDA Software earned $17.72 million, or 42 cents a share, compared with a profit of $17.75 million, or 50 cents a share, for 2009. Revenue jumped 60 percent to $617.2 million from $385.8 million.

The company forecast adjusted earnings per share in a range of $2 to $2.20 for full-year 2011 on total revenue of between $650 million to $690 million. Analysts are expecting $2.36 a share on $669.6 million in revenue.

Shares rose 73 cents to $30.91 on Tuesday before the earnings report was issued after the market's close.