Progress Software Roll Over in the After-Hours

Shares of Progress Software PRGS are falling in the after-hours following the release of its Q2 earnings results. Currently, shares are off by 5.67%, trading at $21.96; they closed the regular session higher by 0.17%, at $23.28. Progress Software reported Q2 GAAP EPS of $0.26, on a diluted basis, on revenues of $134.7 million. Sales increased 6% year over year. The company's cash flow from operations for the quarter was $38.8 million, up from $16.7 million in the same quarter in fiscal 2010, and the company's cash and short-term investments grew to $389.0 million. Richard D. Reidy, president and chief executive officer of Progress Software, said: "The Company's second quarter performance did not meet our expectations due primarily to shortfalls in the Enterprise Data Solutions business unit. However, we are pleased with the continued performance of our Enterprise Business Solutions (EBS) business unit with its 37% year over year growth and 49% increase in license revenue.” “As a result, we continue to invest in the EBS business unit with particular focus on deepening our field capabilities to meet the growing demand for our products and solutions. Additionally, our OpenEdge product within our Application Development Platforms (ADP) business unit was within our expectations and continues to provide the company a firm financial footing." Progress Software Corporation is a global enterprise software company. The company offers a portfolio of real-time software solutions. A key offering is the Progress Responsive Process Management suite that enables enterprises to achieve business performance.