ST. LOUIS (AP) – Amdocs Ltd.'s fiscal second-quarter profit dropped 19 percent as the recession crimped demand for its telecommunications software, but it still topped Wall Street expectations.
The company said Wednesday that it earned $80.6 million, or 39 cents per share, during the three months ended in March. That compares with net income of $99.9 million, or 46 cents per share, at the same time last year.
If not for costs covering acquisitions and employee stock compensation, Amdocs said it would have earned 50 cents per share. On that basis, the results were a penny above the average estimate of analysts surveyed by Thomson Reuters.
Revenue decreased 8 percent to $711 million, still about $7 million above analysts' projections.
"We had anticipated operating in a difficult environment during the quarter and are pleased with our execution in sales, cost control and cash collections," said Dov Baharav, Amdocs' chief executive.
Excluding stock compensation expenses, past acquisitions and other special items, Amdocs expects to earn 46 cents to 50 cents per share on revenue of $670 million to $690 million in the current quarter ending in June.
Analysts, on average, have forecast earnings of 49 cents per share on revenue of $687 million.
Amdocs shares recovered 8 cents in Wednesday's extended trading after surrendering 8 cents to finish the regular session at $19.37.