Tech firm that's moving HQ to Carmel misses quarterly expectations

June 16, 2016

Determine Inc., which plans to move its headquarters from Silicon Valley to Carmel, released quarterly financial results Thursday afternoon that fell short of analyst expectations.

For the fiscal fourth quarter ended March 31, the San Mateo-based software firm reported a loss of $4.8 million, or 42 cents per share, compared with a loss of $4.3 million, or 53 cents per share, in the same quarter of the previous year, when the company was known as Selectica Inc.

Revenue rose to $6.7 million, up 13 percent over the same quarter a year ago.

On an adjusted basis, the company lost $2.2 million, or 20 cents per share, compared with a loss of $1.8 million, or 22 cents per share, a year ago.

The adjusted earnings missed analyst expectations by 6 cents per share. Revenue fell just short of analyst predictions of $6.8 million.

Determine, which sells contract-lifecycle-management software, announced Monday that it was moving its headquarters to Carmel, where it plans to add 24 “high-wage” employees by the end of 2019.

The firm said it plans to invest $720,200 to lease and equip a 9,000-square-foot office at 615 W. Carmel Drive to begin using as its corporate headquarters this month.

The company already has a satellite office in Carmel. It employs about 35 workers in Indiana and 160 worldwide.

For the full fiscal year, Determine lost $14 million, or $1.34 per share, compared with $13.7 million, or $1.89 per share, in fiscal 2015. Full-year revenue rose 28 percent, from $20.9 million to $26.8 million.

Determine stock fell 9 cents Thursday before earnings were reported, to $1.26 per share. The stock has fallen 51 percent since the beginning of the year.


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