Splunk stock value rises as it reports lesser loss than expected by the analysts

Data Analytics software solutions company Splunk announced its financial report for the second fiscal quarter ended July 31. According to the report, the company incurred one cent loss minus items per share.

Although it is a loss that was reported, it was much lesser than what was the consensus of the analysts conducted by Thomas Reuters. The financial gurus had expected a 4-cent loss in the 2^nd quarter for the company.

“Against a challenging economy, they executed very well,” said Trip Chaudhry, an analyst at Global Equities Research. “They provide a key technology that companies continue to spend on.”

According to Splunk, the sales rose 71 percent in the quarter compared to the same period last year. The company recorded sales of $44.5 Million which were also more than the estimated $39.8 Million by the experts.

It is the 19^th straight fiscal term that the company has reported sales in double or triple digits and it further cements the confidence of the investors. The result was a 13 percent rise in the share prices in late hours on Thursday.

“The momentum that we realized in our first quarter of fiscal 2013 has continued into our second quarter,” Splunk CEO Godfrey Sullivan said in a statement. “We added nearly 400 new customers, and are equally excited about the expanded use of Splunk in our customer base.”

The San Francisco-based company provides applications and other software solutions to big corporate clients to study and formulize information from huge volume of data from different sources to improve operations management. Due to the high productivity of its solutions clients periodically purchase software solutions from Splunk and also regularly update the versions.

In a statement, the company said that it has more than 4,000 corporate customers including more than half of the Fortune 100 and clientele is increasing with time. Its top rivals are IBM, BMC Software, CA Technologies, EMC, Teradata and Oracle.

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Posted by Usman Khalid on Aug 31 2012. Filed under Sci-Tech. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.