Amdocs revenue and profit continue to climb

Amdocs Photo: Eyal Izhar
Amdocs Photo: Eyal Izhar

Amdocs CEO Shuky Sheffer sees improved revenue growth in the year ahead.

Israeli IT solutions and communications systems company Amdocs Ltd. (NYSE: DOX) reported higher revenue and profit for the fourth fiscal quarter ended September 30, 2018. Revenue was $1.0 billion, up $0.4 million sequentially from the third fiscal quarter of 2018 and up 2.3% from the corresponding quarter of last year. For the fiscal year ended September 30, 2018, revenue increased by 2.8% to $4.0 billion.

Amdocs' GAAP net profit for the fourth quarter of fiscal 2018 was $44.3 million ($0.31 per share) compared with GAAP net profit of $107.2 million ($0.73 per share) in the corresponding quarter. Non-GAAP net profit was $140.2 million ($0.99 per share) compared with non-GAAP net profit of $137.4 million ($0.94 per share) in the fourth quarter of fiscal 2017.

Amdocs president and CEO Shuky Sheffer said, “We are pleased to report solid results in our fourth fiscal quarter. Revenue was slightly above the midpoint of our guidance and reflected normal customer fluctuations in North America, continued growth in Rest of World and our best quarter in more than a decade in Europe. At the operating level, our profitability was stable as we focused on consistent project execution and delivery. Overall, we wrapped up fiscal 2018 with full year non-GAAP diluted earnings per share growth of 6.1%, which is in line with the midpoint of the guidance range of 4.0% to 8.0% that we issued last November."

Sheffer continued, “Our sales momentum remained healthy in the fourth quarter as we continued to penetrate new customers and new geographies with significant project and managed services awards. Among the highlights, we won our first ever transformation award with TIM, the largest communications provider in Italy, that further expands our customer footprint in this key European market. We also strengthened our position at PLDT in the Philippines where we signed a six-year managed IT infrastructure deal that adds to the seven-year, $300 million managed transformation agreement that we signed only earlier this year”.

He added, “Looking at the year ahead, the visibility of our record 12-month backlog points to an improved rate of revenue growth as we enable and support the continuous digital, media and network transformations of our customers. Taking everything in to consideration, we expect non-GAAP diluted earnings per share growth in the range of 3.0% to 7.0% in fiscal 2019. Moreover, we plan to further improve the total return we provide to shareholders by raising our quarterly dividend payment by 14% to $0.28.5 per share, subject to shareholders approval at the annual meeting in January 2019.”

Published by Globes, Israel business news - en.globes.co.il - on November 11, 2018

© Copyright of Globes Publisher Itonut (1983) Ltd. 2018

Amdocs Photo: Eyal Izhar
Amdocs Photo: Eyal Izhar
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