Question-and-Answer Session
Operator
(Operator Instructions) Our first question comes from Nathan Schneiderman - Roth Capital Partners.
Nathan Schneiderman - Roth Capital Partners
Todd, Q1s are usually seasonally down for software companies and on a sequential basis and you put up a flat quarter. I was curious just how did the $5 million revenue quarter compare with your internal targets? What were you expecting going in?
Todd E. Wille
The quarter actually ended up a little better than we had expected so we were certainly very pleased about that. And you’re right, our Q1 is not only our normal Q4 to Q1 challenge that you can have with sales momentum and so forth. Also we’re seasonally impacted with the Europeans certainly going on vacation in July and August. So we were pleased with the first quarter and it did exceed what we were expecting for the quarter.
Nathan Schneiderman - Roth Capital Partners
When you think about your guidance now, would you say you have increased confidence that you can achieve your guidance or do you feel about the same on the guidance that you did last quarter when you gave guidance?
Todd E. Wille
We certainly feel as well and as strong as we did when we gave the guidance in June and I’d say it’s increased a little bit as well.
Nathan Schneiderman - Roth Capital Partners
A question on the accounts receivable. I guess as I calculate DSOs they were fairly low this quarter. I calculated about 65 versus 91 last quarter and 86 in the year ago period. That’s usually a good sign but I was curious just your thoughts on the low DSO and any particular comments you have on that.
Todd E. Wille
Well certainly probably the biggest reason is two-fold. One is the number of support renewals and maintenance renewals that are in the receivables can be impacted if there’s a larger maintenance renewals than there is revenue per se which happens in the third and fourth quarters. So it’s typically up in the third and fourth quarters. But also I’ll give a lot of credit to Steve and his team. They have certainly put a lot of focus in the last three or four months on getting us current and we expect those to continue to be less than they were last year on a quarter-over-quarter basis going forward. We’re going to really focus on staying current with our customers.
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