Novel has reported revenue of $270 million for its third quarter ended 31 July, down from $327 million for the same quarter last year, due in part to a poor performance in Europe.
“Although we met our total revenue and earnings objectives for the third quarter, we are nonetheless disappointed by continued weakness of packaged software sales globally, and especially our poor performance in Europe,” said CEO Eric Schmidt.
For the first nine months of fiscal 2000, the company reported revenue of $888 million and net income of $84 million, a drop on 1999 figures of $928 million and $117 million respectively.
Schmidt continued, “The quarter was impacted by difficult changes intended to improve Novell’s business. In mid-quarter new leadership reorganised Novell sales around new geographies, solution-selling and channel support. New product groups were formed to make Novell more responsive to customers.”
The board of directors has authorised expenditure of up to $500 million in a share repurchase program.