Shares in the software maker were up $2.01 to $36.25. Competitors Oracle and Siebel Systems had to lower their forecasts for growth in 2001, but PeopleSoft actually revised its numbers upward.
Although competitors bemoaned declining results, PeopleSoft topped earnings estimates and reported its highest revenue yet. Revenue increased 27 percent from last year's second quarter to $533 million. Earnings were $46 million, or 14 cents a share, up from 6 cents a share in last year's second quarter--well above First Call's estimate for 12 cents a share.
The company cited continued market demand for its collaborative enterprise software, which boosted license revenue up 51 percent from the second quarter of last year to $166 million. Service revenue rose 20 percent from the same quarter of last year to $337 million. --Tiffany Kary, Special to ZDNet News