Retalix lowers '07 EPS outlook, COO steps down
Retalix Ltd. (Nasdaq: RTLX), a provider of integrated enterprise-wide, open software, said today that net income for 2007 will be below the range previously anticipated and that the company’s chief operating officer, Avinoan Bloch, will step down.
For fiscal 2007, Retalix said it anticipates net income in the range of $6 million to $8 million on total revenues of roughly $222 million. Three analysts polled by Thomson Financial were on average forecasting sales of $229.15 million for the year.
The Israeli small cap attributed its lowered outlook for 2007 to three license deals which were expected to close by the end of the year, but did not due to incomplete sale cycles until the last day of the fourth quarter.
For the fourth quarter, Retalix said it expects to record a net loss or net income in the range of $1.1 million to profit of $0.9 million on revenues of around $56 million. Three analysts polled by Thomson Financial were on average forecasting sales of $62.67 million for the fourth quarter.
Looking ahead to 2008, the company said it anticipates total revenues for the full year to exceed $232 million and net income to exceed $15 million. Two analysts polled by Thomson Financial are on average projecting revenues of $250.84 million for 2008.
“Demand for our software solutions remains strong; [however] we are taking a conservative approach to our 2008 guidance,” Retalix’s CEO, Barry Shaked, said in a press release today.
Shares of Retalix (RTLX) were halted in pre-market trading.
