Aspen Technology Q4 Profit Rises - Update

(RTTNews) - Aspen Technology Inc. (AZPN) on Wednesday reported an increase in profit for the fourth quarter, helped largely by 22 percent growth in revenues. The software provider's earnings for the quarter trounced analysts' expectations, as did revenues.

Burlington, Massachusetts-based Aspen's fourth-quarter profit rose to $26.7 million or $0.29 per share from $20.4 million or $0.21 per share in the year-ago quarter.

Adjusted earnings improved to $28.7 million or $0.31 per share from $22.7 million or $0.24 per share last year. On average, seven analysts polled by Thomson Reuters expected earnings of $0.21 per share for the quarter. Analysts' estimates typically exclude special items.

Aspen said its revenues for the quarter grew 21.9 percent to $101.5 million from $83.3 million last year. Seven analysts had a consensus revenue estimate of $96.61 million for the quarter.

Subscription and software revenues, which contributes majority of revenues, rose to $91.6 million from $73.8 million, while services & other revenue advanced to $10.0 million from $9.5 million last year.

Commenting on the results, Chief Executive Antonio Pietri said, "We are pleased to report a strong finish to fiscal 2014, with fourth quarter results that exceeded our expectations across all key financial metrics."

AZPN closed Wednesday's trading at $45.90, up $0.15 or 0.33%, on the Nasdaq. The stock further gained $1.10 or 2.40%, in after-hours trade.