WebMethods slashes 160 jobs

Profits warning too...

WebMethods has axed 160 jobs, or 15 per cent of its workforce, as it creaks under the pressure of the US economic slump. The job cuts follow disappointing first quarter sales for the application integration company that saw revenues reach only $55m, representing flat growth on the previous quarter. The company expects losses of nine to 10 cents per share. However, despite the news, the Nasdaq-listed company shot up 17 per cent on Friday before close. The analyst community has suggested this is because the results could have been even worse. WebMethods is the latest B2B software company to fall foul of delayed purchasing orders in the IT sector. BMC Software, BroadVision and i2 Technologies have joined it in issuing lowered expectations.