Seagull Says Fiscal 2006 Looks a Lot Better Than Last Year

Published: June 5, 2006

by Timothy Prickett Morgan

Seagull Software, which makes software to modernize the interfaces into legacy OS/400, mainframe, and Unix applications, announced preliminary financial results for its fiscal 2006 year ended on April 30, and reports that it expects to have annual sales of between $27 million and $28 million. That figure will be roughly 19 percent better than the $23.4 million in sales that Seagull booked in fiscal 2005.

Because Seagull kept something of a rein on costs, the company was able to bring about $100,000 to the bottom line (pro forma), compared to a loss of $908,000 in the prior year. However, because Seagull has to book deferred stock compensation and amortize some intangible assets, the company is still going to book a loss of in the range of $900,000 to $1 million in the quarter.

"Growth was our primary focus during FY 2006," explained Don Addington, president and CEO of Seagull Software, in a statement. "So we are extremely pleased with the strong growth that the company achieved in FY 2006, and with our ability to generate pro forma profit for the year." Seagull will report audited financial results on June 22.