Sun Sentinel Palm Beach Edition
Ultimate Software revenue rises 21%
Firm considering an expansion to Europe
Weston-based Ultimate Software tripled income and increased quarterly revenue by 21 percent over the same period last year to $276.8 million, according to first-quarter earnings released Tuesday.
Scott Scherr, founder, president and CEO, said the first-quarter results were on track to achieve the cloudbased, work force technology company’s 2018 goals. He said both total and recurring revenues increases were “both ahead of expectations.”
During a conference call with analysts on Tuesday, Scherr said Ultimate Software is considering an expansion to Europe for some of its products.
Net income for the quarter was $21 million, or 67 cents a share, as compared with $7.2 million, or 24 cents a share, for the first quarter of 2017. The earnings per share were well above analysts’ consensus estimate of 26 cents for the quarter.
Ultimate Software, which specializes in human
resources software, also saw a 25 percent in recurring revenues, to $236.6 million.
The company also announced Tuesday that chief financial officer Mitchell Dauerman is stepping down after 22 years in the position and Felicia Alvaro is succeeding him as CFO.
Alvaro is vice president of finance and a 20-year veteran in Ultimate’s finance and accounting department. Dauerman said he will remain with the company, working alongside Scherr.
Ultimate has more than 4,000 employees, including 1,700 in Weston.
In February, it was named No. 3 in Fortune magazine and Great Place to Work’s 2018 list of “100 Best Companies to Work For.” It marks the company’s seventh consecutive year in the top 25.
In April, Ultimate also was named to Workforce Magazine’s Workforce 100, which evaluates companies from all over the world for human resources management.
Ultimate Software’s stock closed at $242.76, up $2.84 or 1.18 percent in Nasdaq trading on Tuesday.