License revenues in the third quarter of 2001 were $21.8 million compared to $28.6 million for the second quarter and $54.0 million for the same period last year. Services revenues in the third quarter were $68.2 million compared to $64.8 million for the second quarter and $63.0 million for the same period last year. Other revenues totaled $18.6 million in the third quarter compared to $19.9 million for the second quarter and $31.5 million for the same period last year.
Pro forma net loss for the third quarter of 2001, excluding the amortization of intangible assets, stock-based compensation and restructuring charges was $17.9 million or $0.35 per share. This compares with a pro forma net loss of $24.8 million or $0.48 per share for the second quarter of 2001 and pro forma net income of $2.0 million or $0.04 per share for the same period last year, which included a realized net after-tax gain of $4.7 million or $0.09 per share from the sale of marketable equity securities.
Despite the negative impacts of the tragic events of September 11th, we achieved or exceeded all of our stated financial and operational objectives for the quarter, said Beatriz Infante, Aspect’s Chairman, President, and CEO. In light of the prospect of continued weakness in the business environment, it is necessary to reduce our expenses further and streamline our operations. These actions will ensure the long-term stability of the company and enable us to navigate successfully through a potentially prolonged recession. If the economy improves sooner than expected, we will be well-positioned to start generating profits almost immediately.
I am pleased with the accomplishments of the quarter, continued Infante. We signed several distribution agreements, released joint product announcements with Rockwell and Siemens, and teamed with Blue Cross Blue Shield of Minnesota to provide an integrated health care communications solution on Avaya switches. These relationships are important to the future adoption of Aspect’s software solutions in new geographic and vertical markets.
For the third quarter of 2001, pro forma gross margin was $52.9 million, or 48.7%, compared to $55.0 million, or 48.5%, for the second quarter of 2001 and $78.1 million, or 52.6%, for the third quarter of 2000. Pro forma operating expenses declined $8.5 million to $69.6 million compared to $78.1 million in the second quarter and declined $12.9 million compared to $82.5 million for the same period last year.
License revenues from server products and applications solutions were $8.5 million in the third quarter of 2001, compared to $15.4 million in the second quarter of 2001. License revenues from call center software were $13.3 million in the third quarter, compared to $13.2 million in the second quarter of 2001.
Cash, cash equivalents and short-term investments totaled $133.5 million as of September 30, 2001. During the quarter the company completed the liquidation of its marketable equity security portfolio. Additionally, the company utilized approximately $18.6 million of its credit facility. Subsequent to September 30, 2001, the company received approximately $22.5 million in conjunction with the financing of its headquarters facility.
Including the additional cost reduction measures we have just undertaken, we will effectively be cash flow break-even on an operational basis, stated Betsy Rafael, Aspect’s Chief Financial Officer. Following the most recent restructuring, our overall cash position will stabilize between $100 and $110 million based on our assumption of flat year over year revenues.
In addition to the release of financial results, the company also announced a workforce reduction of approximately 16%, or approximately 350 people, and a 10% reduction in executive salaries. Headcount is being reduced in all functional areas and in all geographies.
