Openwave rebounds on delayed quarterly filing

Shares of Openwave Systems Inc. rebounded after the company posted an improved quarterly loss on slightly decreased revenues.
The Redwood City, Calif.-based developer said it lost $14.7 million in the quarter ended March 31 on $58 million in sales. Openwave reported a $30.1 million loss on sales of $62.7 million during the year-ago period. Sprint Nextel Corp. accounted for 18% of Openwave’s total revenue.
The latest filing had been delayed while Openwave investigated an employee’s charges that executives had “managed” financial results. An internal committee “found no conclusive evidence” of wrongdoing, the company said, but will nonetheless adjust company policies in response to the charges.
“To avoid the appearance of impropriety,” said CEO Bruce Coleman, “we are implementing changes to our internal policies to clarify our sales process.”
Openwave also announced the appointment of Karen Willem to CFO; interim CFO Anne Brennan was named VP of finance.
Shares of the company sank 9 cents, or more than 7%, to $1.13 at Monday’s close. The stock rebounded in after-hours trading and was up 11 cents, or nearly 10%, to $1.24 by mid-day Tuesday.
The filing follows a dramatic restructuring that has seen Openwave spin off Musiwave to Microsoft Corp. for $46 million and, more recently, offload its mobile-phone software business to Purple Labs for $30 million.