The Rockville, Maryland-based company said software revenue is only expected to be $10.5m to $11m, compared to the $19.9m recorded a year earlier.
Manugistics said that although all the reasons for the shortfall in software revenue are still being analyzed, delayed decisions occurred unexpectedly towards the end of the quarter, and the shortfall does not appear to have resulted from losses to competition.
Lower revenue led it to expect a net loss in the $7m to $8m range, which is at least an improvement on the $18.5m loss it recorded a year earlier.
However, it said services and reimbursed expenses revenue is likely to come in higher than expected in the $19m to $19.5m range, though this is down on the 2003 figure of $24.2m. It said support revenue will be on target at $21.5m, flat with last year’s figures.
