PeopleSoft Earnings Exceed ExpectationsPeopleSoft Earnings Exceed Expectations

Despite the tough economy, PeopleSoft Inc. managed to deliver better-than-expected earnings. The business software vendor reported revenue of $512 million for its fourth quarter ended Dec. 31, up from $509.4 million the previous quarter. Its fourth-quarter license revenue of $143 million exceeded the company's guidance of $125 million to $135 million.

Though fourth-quarter earnings were healthy, PeopleSoft's annual revenue of $1.9 billion is a sharp drop from its 2001 total of $2.1 billion. Fourth-quarter operating income was $78 million; annual operating income was a record $263 million. Net income including nonrecurring items for 2002 was $183 million.

CEO Craig Conway says PeopleSoft has increased its market share in all of its product lines and added more than 35 products to its portfolio. He also says the company is "well-positioned to succeed in any economic climate" in the new year.