Corel Says FY Q4 Revs, EPS Came In Shy Of Guidance

Corel (CREL) this afternoon said it expects to report revenue for its fiscal fourth quarter ended November 30 of $68.5 million to $69.5 million, short of its previous guidance of $71 million to $75 million. The company expects to post non-GAAP profits of 29 to 37 cents a share, well below its previous forecast of 52-60 cents.

The software company said its results were negatively affected by reduced spending by enterprise customers; lower-than-expected worldwide OEM shipments; the insolvency of one of its Canadian retailers; the negative impact of foreign exchange; and lower margins due to a mix shift to lower margin products.

Corel said its board will continue to focus on maximizing shareholders value, “and will continue to evaluate all strategic alternatives as they arise.” In October, the company announced that talks about a potential sale of the company had ceased. In August, Corel holder Vector Capital withdrew an offer to acquire the 31% of the company it does not already own for $11 a share.

CREL today fell a penny to $3.99.