Q1 revenues drop at SPSS

US-- Analytics and research software provider SPSS has reported a drop in revenues for the first quarter of 2009, blaming negative impact from currency exchange rates and the current global economic climate.

The firm said at the end of 2008 that customers were shying away from larger transactions, which remained the case during Q1 2009.

First quarter revenues were down 8% from the same period last year to $72.1m – a 1% decline excluding the effects of currency exchange rates.

Net income for the quarter was up 4% to $9.4m from $9m.

SPSS president and CEO Jack Noonan said: “As expected, the global economic environment presented a challenging first quarter. While there remains resistance in closing large transactions, our customers continue to support our products at the low end, reflecting our competitive price point advantage.”

Noonan said the firm had performed well in the Pacific Rim region, which had offset “softness” in the US and Europe.

Chief financial officer Raymond Panza said he was expecting foreign currency exchange rates to continue to have a negative effect on results throughout 2009.

Late last year, the firm announced plans to cut 10% of its staff in a bid to stay ahead of the economic downturn.

Author: James Verrinder