Vignette Corp. (Nasdaq: VIGN) fell 3 1/16 to 26 1/8 Thursday, despite reporting third-quarter results that were in line with expectations and announcing an alliance with Intel Corp. (Nasdaq: INTC).
The Austin, Texas-based e-commerce software maker said revenue rose 355 percent from a year earlier to $110.4 million, while the operating loss totaled $9.1 million, or 1 cent per share, in line with analysts’ forecasts. The net loss, however, widened to $259.32 million, or $1.15 per share, from $7.89 million, or 5 cents.
“This quarter, we continued our strong execution and extended our market leadership position,” said chairman, president and chief executive officer Greg Peters.
“Our revenue growth is very robust, our balance sheet is solid, we had numerous strategic customer wins and we solidified key strategic partnerships with some of the world’s leading technology companies,” Peters said. “As we move forward, we have never been in a better position than we are today in terms of our product offering and our competitive positioning.”
U.S. Bancorp Piper Jaffray called the results “solid,” and set a 12-month price target of $52 for the stock, which the firm rates as a strong buy.
Vignette said new customers obtained during the quarter included Ariba, Credit Lyonnais, Blockbuster, Inc. and Verizon.
The results were announced after the close of trading Wednesday. The same day, Vignette said it formed an alliance with Intel aimed at providing packaged software for companies developing e-business systems. The companies said the alliance includes joint technology development and committed engineering, sales and marketing resources.
The venture initially will target wireless and e-marketplace customers.