Bridgeline Digital Announces Earnings for Second Quarter of Fiscal 2018

Bridgeline Digital Inc (NASDAQ:BLIN), a digital engagement company announced financial results for its fiscal second quarter ended March 31, 2018.

The company had a SaaS revenue of $1.3 million in the second quarter of fiscal 2018 as compared to $1.4 million in the second quarter of fiscal 2017. The company’s hosting revenue increased 12.4 percent to $293,000 in the second quarter of fiscal 2018 as compared to $261,000 in the second quarter of fiscal 2017.

As quoted in the press release:

Second Quarter Summary:

• Recurring revenue was $1.7 million in the second quarter of fiscal 2018, compared to $1.8 million in the second quarter of fiscal 2017.
• Subscription and perpetual license revenue was $1.5 million in the second quarter of fiscal 2018, compared to $1.6 million in the second quarter of fiscal 2017.
• Operating expenses were reduced by $287,000, or 10.5% to $2.4 million in the second quarter of fiscal 2018, from $2.7 million in the second quarter of fiscal 2017.

Year to Date Summary:

 

• SaaS revenue was $2.8 million in the first six months of fiscal 2018, consistent with the $2.8 million in the first six months of fiscal 2017.
• Hosting revenue increased 19.0% to $596,000 in the first six months of fiscal 2018, compared to $501,000 in the first six months of fiscal 2017.
• Recurring revenue increased 2.6% to $3.6 million in the first six months of fiscal 2018, compared to $3.5 million in the first six months of fiscal 2017.
• Subscription and perpetual license revenue was $3.1 million in the first six months of fiscal 2018, compared to $3.3 million in the first six months of fiscal 2017.
• Operating expenses were reduced by $593,000, or 11.0% to $4.8 million in the first six months of fiscal 2018, from $5.4 million in the first six months of fiscal 2017.

“Bridgeline continues to see interest in the B2B market as well as enhanced hosting needs due to regulatory requirements including those of the American Disability Act (ADA) and the General Data Protection Regulation (GDPR) in Europe,” said Ari Kahn, Bridgeline’s President and Chief Executive Officer.  “Bridgeline’s enterprise commerce and hosting capabilities position us well to address and complement these regulatory requirements by providing further value to our existing customers and winning new business.”

Financial Results

Second Quarter

Revenue for the second quarter of fiscal 2018 was $3.7 million, compared to $4.0 million in the second quarter of fiscal 2017. SaaS revenue was $1.3 million in the second quarter of fiscal 2018, compared to $1.4 million in the second quarter of fiscal 2017. Hosting revenue was $293,000 in the second quarter of fiscal 2018, compared to $261,000 in the second quarter of fiscal 2017. Recurring revenue was $1.7 million in the second quarter of fiscal 2018, compared to $1.8 million in the second quarter of fiscal 2017. Subscription and perpetual license revenue was $1.5 million in the second quarter of fiscal 2018, compared to $1.6 million in the second quarter of fiscal 2017.

Operating expenses were reduced by $287,000, or 10.5% to $2.4 million in the second quarter of fiscal 2018, compared to $2.7 million in the second quarter of fiscal 2017, reflecting management’s ongoing expense control initiatives. Loss from Operations was $616,000 in the second quarter of fiscal 2018, compared to $447,000 in the second quarter of fiscal 2017.

Net loss was $680,000 in the second quarter of fiscal 2018, compared to a net loss of $530,000 in the second quarter of fiscal 2017.

Adjusted EBITDA was a loss of $185,000 in the second quarter of fiscal 2018, compared to a gain of $22,000 in the second quarter of fiscal 2017.

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