FAIRFAX, Va.-American Management Systems announced its third-quarter net income reached $4.5 million, or 11 cents per share, compared with $10.7 million, or 25 cents per share, for the third quarter 1996.
Third quarter 1997 revenue was $225.5 million, compared with $217.5 million the previous year.
For the first nine months of 1997, AMS’ net income was $18.1 million, or 43 cents per share, compared with net income of $25.6 million, or 61 cents per share, for 1996. Revenues for the first nine months totaled $642.6 million compared with $587.7 the previous year.
For the quarter, revenues increased in all markets except for telecommunications, which decreased primarily due to the termination of the work with Cellnet and the cancellation by Swiss Telecom of the second phase of the Customer Care and Billing Systems Project, said the company.
“We are of course disappointed in our recent results in the telecommunications market, but expect that the major impact on earnings of these two events was absorbed in the quarter just ended,” said Paul Brands, chief executive officer of AMS.
“We have been reviewing carefully our approach to the telecommunications market, and we have development of next-generation telecom billing software underway and expect these efforts to bolster our growth and profits in this market in the future.”
