Intraday Mover: American Software, Inc. (NASDAQ: AMSWA)

On Wednesday, Shares of American Software, Inc. (NASDAQ: AMSWA) rose 0.69% to $11.62. The stock recorded $11.48 as its minimum price and hit the max level of $11.65, during its most recent trading session. It traded total volume of 52,367 shares lower than the average volume of 138.49K shares.

American Software, Inc. (AMSWA) recently stated preliminary financial results for the first quarter for fiscal year 2019.

Key First quarter financial highlights:

  • Cloud Services Annual Contract Value (ACV) increased about 71% to $13.20M as of the quarter ended July 31, 2018 contrast to $7.70M as of the same period of the prior year. ACV consists of Software-as-a-Service (SaaS) of $10.40M, a 93% increase when contrast to about $5.40M for the same period last year, and other cloud services of $2.80M, a 20% increase when contrast to $2.30M for the same period last year.
  • Subscription fees were $3.20M for the quarter ended July 31, 2018, a 96% increase contrast to $1.60M for the same period last year, while Software license revenues were $1.70M, a 58% decrease contrast to $4.00M for the same period last year, reflecting our continued transition to the SaaS engagement model.
  • Total revenues for the quarter ended July 31, 2018 were $27.40M, a boost of 2% over the comparable period last year. Recurring revenue streams of Maintenance and Cloud Services were 54% of total revenues in the quarter ended July 31, 2018 contrast to 46% in the same period of the prior year.
  • Maintenance revenues for the quarter ended July 31, 2018 increased 6% to $11.50M contrast to $10.80M for the same period last year.
  • Professional services and other revenues for the quarter ended July 31, 2018 increased 6% to $11.00M contrast to $10.40M for the same period last year.
  • Operating earnings for the quarter ended July 31, 2018 reduced 83% to $0.60M contrast to $3.60M for the same period last year.
  • GAAP net earnings for the quarter ended July 31, 2018 reduced 49% to $1.40M or $0.04 per fully diluted share contrast to $2.70M or $0.09 per fully diluted share for the same period last year. Adjusted net earnings for the quarter ended July 31, 2018, which excludes non-cash stock-based compensation expense and amortization of acquisition-related intangibles, were $2.20M or $0.07 per fully diluted share contrast to $3.10M or $0.10 per fully diluted share for the same period last year.
  • EBITDA reduced by 52% to $2.40M for the quarter ended July 31, 2018 contrast to $5.00M for the same period last year which was influenced by Subscription Services being preferred over a perpetual licensing model.
  • Adjusted EBITDA reduced by 47% to $2.80M for the quarter ended July 31, 2018 contrast to $5.30M for the quarter ended July 31, 2017. Adjusted EBITDA represents GAAP net earnings adjusted for amortization of intangibles, depreciation, interest income & other, net, income tax (benefit)/expense and non-cash stock-based compensation expense.

The overall financial condition of the Company remains strong, with cash and investments of about $87.40M and no debt as of July 31, 2018. During the first quarter of fiscal 2019, the Company paid shareholder dividends of about $3.40M.

AMSWA has the market capitalization of $356.73M and its EPS growth ratio for the past five years was -2.90%. The return on assets ratio of the Company was 6.80% while its return on investment ratio stands at 7.70%. Price to sales ratio was 3.15 while 98.30% of the stock was owned by institutional investors.

Bobbie Collins

Bobbie Collins gives us an insight into the most recent news hitting the Technology Sector in Wall Street. He has been an independent financial adviser for over 10 years in the city and in recent years turned his experience in finance and passion for journalism into a full time role. He performs analysis of Companies and publicizes valuable information for shareholder community. Collins is an accomplished journalist who has a passion for travel. His desire to see the world has taken him to countries around the world and given him the opportunity to report for some of the top news organizations.