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NetSuite Shares Surge on Q4 Results (N)

Shares of NetSuite Inc. (NYSE: N), a provider of cloud-based financials/Enterprise Resource Planning (ERP) software suites, are soaring in trading today after the company reported its fourth-quarter financial results.

For the quarter ended December 31, 2012, the San Mateo, California-based company reported total revenue of $85 million, representing an increase of 33% over the same period in the previous year. Total revenue for the full-year 2012 was $308.8 million, up 31% over the same period in the previous year.

On a GAAP basis, the company reported net loss of $9.6 million, or $0.13 per share for the fourth quarter, compared to a net loss of $7.6 million, or $0.11 per share reported for the same period in the previous year. On a non-GAAP basis, the company reported net income of $4.6 million, or $0.06 per share for the fourth quarter, compared to $3.4 million, or $0.05 per share reported for the same period in the previous year.

For the full year 2012, NetSuite reported GAAP net loss of $35.2 million, or $0.50 per share, compared to net loss of $32 million, or $0.48 per share reported for the same period in the previous year. The company reported net income of $19.1 million, or $0.26 per share for 2012, on a non-GAAP basis, compared to net income of $10.8 million, or $0.15 per share reported for the same period in the previous year.

Zach Nelson, CEO of NetSuite, said that in a year that saw Microsoft once again fail to deliver cloud-native ERP solutions, and in a quarter that saw SAP miss their most recent top-and bottom-line forecast as more large enterprises moved to cloud, NetSuite delivered its best year ever.

NetSuite shares rose to a 52-week high of $75.75 in early trading today. At last check, the stock was trading 5.68% higher at $74.22 on volume of 251,161.


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