Revenue and profit drop at Iona
24-01-2008
by Charlie Taylor

Irish software giant Iona Technologies has recorded fourth quarter revenue of USD18.1 million, down from USD22.8 million a year ago.

The Dublin-based company, which develops middleware and web services software, reported net income of USD0.2 million, or USD0.01 per share for the final quarter of 2007. This compares with net income of USD2.9 million, or USD0.08 per share for the same quarter in 2006.

Iona announced full-year 2007 revenue of USD77.7 million, down slightly on the USD77.8 million posted a year ago. In addition, the company posted a net loss of USD0.7 million, or USD0.02 per share for fiscal 2007, compared to net income of USD7.1 million or USD0.19 per share in 2006.

Peter Zotto, CEO, Iona Technologies said that, "intense reviews of bigger deals toward the end of the year resulted in delays with specific customers at quarter-end, impacting our overall results and Artix, in particular."

Despite the deal delays Iona said it generated positive cash flow from operations of USD11.7 million while revenue from the company's flagship product Artix grew 26 percent.

"In 2007, our Corba business remained predictable and profitable," said Zotto. "Our two acquisitions, C24 and LogicBlaze, have performed well while adding two new lines of business and diversifying our revenue base. We expect the new products will provide growth in two attractive market segments and will complement our existing Artix product line."

Looking ahead, the firm said it expects total revenue for 2008 to be in the range of between USD80 million and USD85 million.

Iona, which was first established on the campus at Trinity College, Dublin in 1991, employs 347 people worldwide. Approximately, 115 staff are employed at the firm's headquarters in Ireland.