Aliso Viejo-based Quest Software Inc. saw gains in revenue and adjusted earnings in the third quarter but the software maker’s guidance for the current quarter fell short of estimates.
Quest, which makes software that monitors the delivery of data on networks, said adjusted earnings were $17.5 million during the quarter, up nearly 40% from a year earlier.
Analysts were looking for flat profits.
Revenue grew 25% from a year earlier to $121.3 million, beating estimates of $113 million.
“We executed well across all areas of the company,” said Vincent “Vinny” Smith, Quest’s chief executive.
But Quest’s view on the current quarter was less bright.
It said it expects adjusted earnings of $15.8 million to $18.8 million, compared to estimates of $20 million.
Revenue could come in at $130 million to $135 million, short of estimates for $137 million.
“As we close the year, we will be focusing on integrating the recent acquisitions … as well as making specific investments to expand our sales organization and corporate infrastructure to support growth for 2006,” Smith said.
The company’s recent acquisitions have included Madison, Wis.-based Wingra Technologies LLC, an e-mail management company.
