However, that was countered by a 22-percent hike in the payments business, which gave Quisitive a 1-percent rise in net income for the period. As a result the loss jumped to slightly more than $6 million for the most recently ended quarter, almost triple the slightly more than $2 million in red ink a year earlier. “The second quarter was weaker than expected,” CEO Mike Reinhart said during this week’s earnings webcast. Deals that were expected to close did not, although five of those were concluded this quarter—but not all were finalized. “We were holding resources under the impressions these deals would be occurring,” CFO Scott Meriwether said during the webcast. “Many of those we have taken out of our forecast. They may still happen.” Reinhart cited weakness in the application development and services line. “We have implemented several concrete measures,” he said. Reinhart said cost of sales had been reduced although he did not specify how and the company implemented enhanced operations reporting and a tracking dashboard. He also noted, “We have refined our sales process.” While the cloud business, which includes Dynamics ERP products, was softer than anticipated, the healthcare business was stronger and the company is putting more resources their.
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BUYER DELAYS HIT QUISITIVE CLOUD Featured
Cautious customers caught Quisitive Technologies off guard for the second quarter ended June 30 with the result the reseller’s cloud business revenue dropped by 14 percent year-over year.