Red Hat 3Q revenue growth driven by subscriptions

Red Hat reports 46 percent growth in income

Buoyed by strong subscription revenue, open-source software company Red Hat reported on Monday strong net income and revenue gains for the third quarter of its fiscal year 2012.

For the quarter, which ended Nov. 30, Red Hat reaped US$38.2 million in net income, or $0.19 per diluted share, an increase of 46 percent from the same quarter a year ago, the company reported Monday.

Red Hat's revenue grew to $290 million, a 23 percent increase from a year ago. Of this revenue, $246.5 million came from software subscriptions, a 24 percent increase from the previous year, the company reported. Most of the remaining revenue came from the company's training services.

In this time period, the company benefitted from both strong demand from enterprise customers as well as gains in market share, said Jim Whitehurst, Red Hat president and CEO, in a statement. Red Hat also closed its acquisition of open-source storage software company Gluster during the quarter.

Taking into account factors such as stock compensation and amortization expenses, Red Hat reported non-GAAP net income of $55.7 million, or $0.28 per diluted share, as compared to $39.1 million, or $0.20 per diluted share, in the same quarter a year ago.

Joab Jackson covers enterprise software and general technology breaking news for The IDG News Service. Follow Joab on Twitter at @Joab_Jackson. Joab's e-mail address is Joab_Jackson@idg.com

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags business issuesfinancial resultsRed Hat

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Joab Jackson

IDG News Service
Show Comments

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Tom Pope

Dynabook Portégé X30L-G

Ultimately this laptop has achieved everything I would hope for in a laptop for work, while fitting that into a form factor and weight that is remarkable.

Tom Sellers

MSI P65

This smart laptop was enjoyable to use and great to work on – creating content was super simple.

Lolita Wang

MSI GT76

It really doesn’t get more “gaming laptop” than this.

Jack Jeffries

MSI GS75

As the Maserati or BMW of laptops, it would fit perfectly in the hands of a professional needing firepower under the hood, sophistication and class on the surface, and gaming prowess (sports mode if you will) in between.

Taylor Carr

MSI PS63

The MSI PS63 is an amazing laptop and I would definitely consider buying one in the future.

Christopher Low

Brother RJ-4230B

This small mobile printer is exactly what I need for invoicing and other jobs such as sending fellow tradesman details or step-by-step instructions that I can easily print off from my phone or the Web.

Featured Content

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?