Ariba Inc. Earnings Cheat Sheet: Falls Below Expectations as Net Income Declines

Ariba, Inc. (NASDAQ:ARBA) reported a lower net income in fourth quarter, missing analysts’ estimates. Ariba is a provider of collaborative business commerce solutions for buying and selling goods and services.

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

Ariba Earnings Cheat Sheet for the Fourth Quarter

Results: Net income for Ariba, Inc. fell to $3.1 million (2 cents per share) vs. $4.1 million (4 cents per share) a year earlier. This is a decline of 25.3% from the year earlier quarter.

Actual vs. Wall St. Expectations: ARBA fell short of the mean analyst estimate of 8 cents per share.

Quoting Management: “As our strong quarterly results demonstrate, our network-based solutions are creating value for companies around the world,” said Bob Calderoni, Chairman and CEO, Ariba. “We continue to invest in the development of these solutions and to expand our presence globally, as evidenced by our acquisitions of Quadrem, and most recently, b-process. And we are well-positioned to execute our strategy of becoming the world’s preferred business commerce network.”

Key Stats:

The company fell short of estimates last quarter after beating the mark the quarter before with net income of 6 cents versus a mean estimate of net income of 5 cents per share.

Looking Forward: Over the past ninety days, the average estimate for the first quarter of the next fiscal year has fallen from 9 cents per share to 6 cents, indicating that analysts are growing pessisimistic about the company’s performance next quarter. The average estimate for the fiscal year is now 24 cents per share, down from 25 cents sixty days ago.

Competitors to Watch: SciQuest, Inc. (NASDAQ:SQI), Oracle Corporation (NASDAQ:ORCL), Intl. Business Machines Corp. (NYSE:IBM), Bottomline Technologies (NASDAQ:EPAY), Manhattan Associates, Inc. (NASDAQ:MANH), Vocus, Inc. (NASDAQ:VOCS), American Software, Inc. (NASDAQ:AMSWA), Deltek Inc. (NASDAQ:PROJ), Selectica, Inc. (NASDAQ:SLTC), and MER Telemanagement Solutions Ltd. (NASDAQ:MTSL).

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

(Source: Xignite Financials)