On Tuesday, the third-quarter result of Quest Software Inc., which is an Aliso Viejo-based business software developer, has been announced by the company. The company is into developing software to improve and manage other business programs from Microsoft Corp., Oracle Corp. and more such companies. The sales of the company have not been up to the mark of the analyst’s expectations, whereas the profits have surpassed their expectations.

The analysts were hoping for sales of $172 million which was met with $171 million by the company, indicating a 9% low from the last year. The profits were reported at $31 million excluding other charges and costs. The short-term assets and cash were reported at gross $362 million. Any future prospects for the next quarter were not announced by Quest. The analysts were expecting sales of $191 million fetching a profit of $34 million in the next quarter.

A lawsuit filed in the year 2006, regarding the backdating of stock options, was agreed upon to be settled down at $29 million. It is just waiting for the approval from the court. A case with the Securities and Exchange Commission was settled down in the month of March that fined 3 executives for a similar probe. The executives involved in the probe were Vinny Smith, Kevin Brooks and John Laskey. They all hold very responsible positions in the company. As per the terms of the settlement, they were fined for $300,000 and were not given any option to admit or deny the conditions.

Last year only, a restatement bill of $137 million was posted by the company, which is the second largest bill after Broadcom’s bill of $2.2 billion.

This entry was posted on Thursday, November 5th, 2009 at 6:30 am and is filed under Venture Capital Events, Venture Capital News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.