Accounting News


DELTEK PLANS IPO Deltek expects to pay off much of its $230 million in debt through an initial public offering.

The Tysons Corner, Va.-based company, which specializes in project management software, incurred the debt when an investment fund, New Mountain Partners, purchased control from founders Kenneth and Donald Laski in 2005. Deltek reported net income of $15.3 million for the year ended Dec. 31, up sharply from $8.7 million for 2005. Revenue rose to $228.3 million for the year ended Dec. 31, up from $153 million. License fees represented 32.8 percent of revenue in the most recently completed year, up from 30 percent in 2005 and 28.8 percent in 2004.


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Serenic invested heavily in growing its staff as its loss for the first quarter ended May 31 grew to about $280,000, up sharply from a loss of $52,000 in last year's corresponding period.

Personnel expenses rose by 20.4 percent as the company incurred $181,000 more in costs than a year earlier. Marketing expenses also rose sharply, up 38 percent. Revenue was reported at about $1.73 million, up 15.3 percent from $1.l5 million in last year's corresponding period. The financial report is the first issued since Randy Keith became CEO.


Epicor Software has expanded operations in Latin America through agreements with two Miami-based organizations.

Technology Coast Partners will serve Chile while Ability Data, which also has offices in Bogota, Columbia, will handle the market in that country. The companies will handle the full line of financial, supply chain, PSA and CRM applications. TCP previously handled Epicor manufacturing applications in other parts of South America.


Two former Kintera executives have received severance packages, with a majority of the promised pay depending on the performance of their former company.

The company set pay at $300,000 for founder and former CEO Harry Gruber who is to receive $100,000 another the second third following a report of positive adjusted EBITDA for a quarter following the effective date and the last $100,000 after the company posts another such quarter. Former CFO Dennis Berman was to get $165,000 on the same basis. The first $55,000 was to come with three business days of the effective day of the agreement and the next two payments tied to EBITDA.


Sales of QuickBooks Enterprise Solutions, Intuit's midmarket accounting software product, reached 13,000 units for the year ended July 31, up from 12,000 units for the prior fiscal year.

The fiscal 2007 total represents a 30 percent increase over the number of units sold in 2006. Meanwhile, sales of QuickBooks Premier totaled 346,000 units, a 25 percent increase from 277,000 units a year ago. The number of units hit 39,000 at year's ended up 34 percent from 29,000. There were 117,000 QuickBooks Online Edition subscriptions, up from 78,000.


CDC Corp., a Hong Kong-based company with a North American headquarters in Atlanta, plans to file an initial public offering for up to $225 million Class A shares.

The offering is expected to be completed in the fourth quarter for the company, which owns Ross System and Pivotal. No further financial details were reported as the company has not filed a form S-1. It noted that each Class A share has one vote while Class B shares have 20 votes each. Class B shares immediately became an equal amount of Class A shares if they are transferred to anyone not affiliated with CDC Corp.


Activant, a company that markets specialized ERP software, reported earnings of $1.3 million for the quarter ended June 30, compared to $595,000 a year earlier.

Revenue in the most recently concluded period was $100.2 million, up from $63.4 million for the two months from May 2 through June 30, 2006. The unusual period stems from the May 2, 2006 formation of the Activant Group through a series of mergers that brought the company together under the ownership of Hellman & Friedman and Thomas Cressey Equity Partners. The company also completed its purchase of Intuit's Eclipse software for $100 million in September.


Syspro has started a program to offer software resellers certification for their expertise in the company's applications.

The program, which measures a consultant's knowledge of the products, will first be offered to resellers, and probably later to end users.

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