By ADAM GIFFORD
Enterprise software vendor PeopleSoft New Zealand boosted its revenue 25 per cent to $37.8 million last year but failed to show a profit.
Sales could be looking up, though, with prospects of an end to a long-running hostile takeover bid by Oracle which has caused uncertainty among potential customers.
Currently PeopleSoft has big projects on the go at Air New Zealand, SkyCity and the Manukau City Council.
Accounts just filed with the Companies Office showed the company made an after-tax loss of $9288, compared with a $1.3 million profit in 2002.
While licence sale revenue dropped a third to $7.89 million, services revenue jumped $10 million to $19.8 million.
The figures do not include any input from JD Edwards, which PeopleSoft bought in August last year. The New Zealand operations were not formally merged until June this year.
At the time of the acquisition, PeopleSoft New Zealand head Andy Batchelor said the combined companies would be the largest enterprise application vendor in the country.
Although 2003 results are not available, based on previous years JD Edwards would bring about $10 million to the combined company.
That would put it ahead of rival SAP, which last year made a $3 million profit on revenue of $40.4 million.
Oracle New Zealand made a $7.1 million profit on sales of $44.4 million in the year to May 31, but most of its revenue comes from its database technology.
Meanwhile, Oracle has launched its best and final offer for PeopleSoft, raising the price it is prepared to offer from US$21 to US$24 a share. That values PeopleSoft at US$9.2 billion ($13.2 billion).
The offer will lapse on Friday if Oracle does not get 50 per cent of acceptances. PeopleSoft directors again recommended the offer be rejected.
The 17-month battle has led many customers to shy away from buying PeopleSoft systems because of fears they would not be supported by a new owner.
Software outlook improves
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