Borland warns of loss on Q1 earnings

By Steve Malone

Posted on 10 Apr 2003 at 12:21

Software developer Borland has warned the markets that it expects to post a loss for the first quarter of 2003. The warning comes ahead of the full results which are expected at the end of April

The company says it expects revenue for the first quarter to be in the range of $72 to $75 million, an increase of 26 per cent to 31 per cent over revenue of $57.1 million reported for the first quarter of 2002, but below the company's previous target of $77 - $83 million.

In a statement the company blames 'customer reluctance to close deals in the last weeks of the quarter'. The company went on to reassure investors by pointing out that it has `$210 million in cash and no long-term debt as of March 31, 2003'. However, following the news, the Borland share price fell by 8 per cent.