AUSTIN, Texas (AP) — SolarWinds' third-quarter profit rose 8 percent, helped by steep increases in both license and maintenance revenue.
The Austin, Texas, software company earned $22.5 million, or 29 cents per share, up from $20.9 million, or 28 cents per share, in the same quarter last year. Excluding one-time items, the company posted an adjusted profit of 37 cents per share.
Revenue jumped 33 percent to $71.7 million from $53.9 million.
The results beat Wall Street predictions. Analysts, on average, expected a profit of 31 cents per share on $67.9 million in revenue, according to a FactSet poll.
SolarWinds said its license revenue jumped 33 percent to $34 million, while maintenance revenue increased 33 percent to $37.7 million.
For the fourth-quarter, the company said it expects to post an adjusted profit of 31 cents to 33 cents per share on $69.3 million to $70.8 million in revenue. Analysts expect a profit of 31 cents per share on $70.1 million in revenue.
For the full year, SolarWinds boosted its adjusted profit prediction to $1.31 or $1.32 per share on $264.7 million to $266.2 million in revenue. Analysts expect a profit of $1.25 per share on $261.6 million in revenue.
SolarWinds shares rose in early trading Thursday, but began to fall later in the morning. In afternoon trading, the shares dropped $3.88, or 7.5 percent, to $47.97. Over the past 52 weeks, the stock has traded between $26.24 and $60.95.