Revenue was $158.8 million, a rise of 9.8 percent from $144.6 million in last year's corresponding period. The switch to subscription revenue is a mixed blessing in the short-term. CFO Tony Boor says margins for the Charleston, S.C.-based company "were somewhat upset by headwinds from recognizing time-based subscription revenue instead of receiving up-front revenue from perpetual licenses." Execs expressed pleasure with the reception of the new Raiser's Edge NXT and Financial Edge NXT applications. CEO Mike Gianoni said that 1,000 and 400 systems respectively have been sold "to a mix of new and existing clients, indicating solid early progress for both solutions." Between both applications there are 800 live sites worldwide. The company also noted Raiser's Edge is live in Australia on the Microsoft Azure platform under a recently announced alliance with that company."
BLACKBAUD: SUBS RISE 12 PERCENT Featured
Blackbaud reported subscription revenue rose 12 percent for the third quarter ended September 30 as the move from license sales continues. Overall, the nonprofit software company reported net income dropped to $7.9 million for the most recently ended quarter, down 31.2 percent from $10.4 million a year earlier. However, for the same periods, non-GAAP earnings were $17.8 million, up 11.5 percent from $15.8 million.
