RightNow Technologies Inc. (RNOW) reported third-quarter 2009 earnings per share of 6 cents, exceeding the Zacks Consensus Estimate of 1 cent.
Total revenue in the third quarter of 2009 was $38.7 million, compared to $36.2 million in the third quarter of 2008. Recurring revenue increased 15% to $29.7 million from $25.9 million last year. New, renewed and expanded customer relationships included Epson, FICO, iRobot, Lucent-Alcatel, The Men’s Wearhouse, Nike, Photobox, TiVo, U.S. Air Force and Virgin Mobile. Professional service revenue was $9 million for the quarter, consistent with Q2 and in line with our expectations. The mix of revenue across geographies for the quarter was 72% for Americas, 19% for EMEA, and 9% for Asia-Pac.
For the third quarter, the average first year contract value was approximately $112,000, which is up from last quarter and last year.
The company had seven deals over $1 million, 83 deals between $100,000 and $1 million, and 388 deals less than $100,000. The average contract term was consistent with historical averages at approximately 20 months.
Cash generated from operations was $4.9 million for the quarter, which is $11.9 million year-to-date ahead of last year. Capital expenditures were $1.4 million for the third quarter and $3.9 million year-to-date.
The company expects GAAP earnings per share in the fourth quarter between a loss of 1 cent to a profit of 1 cent. The current Zacks Consensus Estimate stands at 1 cent.
RightNow Technologies, Inc. provides customer relationship management (CRM) software and services in the United States, Europe, and the Asia Pacific. Its CRM software suite includes RightNow Service, RightNow Marketing, RightNow Sales, RightNow Feedback, RightNow Voice, and RightNow Analytics. Major competitors include Oracle Corporation (ORCL) and SAP AG (SAP).
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