Novell said sales of its flagship Netware 5 network operating system "exceeded" targets and helped it post a 20 per cent revenue increase for the second fiscal quarter.
The company shifted $169 million worth of Netware server software during the quarter, an increase of 41 per cent over previous year. Sales of service, training and consulting rose the fastest, however, at 47 per cent to $44 million.
Novell saw turnover for the period, which ended 30 April, grow to $316 million from $262 million last time, while net income leapt 106 per cent to $68 million or $0.19 earnings per share. The First Call analysts' consensus had expected earnings per share of $0.10.
Europe, the Middle East and Africa enjoyed the strongest sales, up 35 per cent to $105 million, but the firm said it was also beginning to see improvements in Asia Pacific, where sales grew 23 per cent to $26 million.
Eric Schmidt, Novell's chief executive, said: "Novell is on its way to becoming a growth company again. We had planned for growth, but the market's response to Netware 5 has exceeded our plans."
Analysts believe Netware 5's uptake has increased because it now fully supports IP rather than the proprietary IPX protocol of previous versions. The situation has also been helped by widespread acceptance of NDS, which first appeared in Netware 4, while Novell itself admits that it is easier to upgrade to Netware 5 than to Netware 4.
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