Verint Systems Inc. posts loss as revenue falls nearly 9%

Verint Systems Inc., whose software is used by business call centers and government intelligence agencies, Wednesday posted a net loss and lower revenue for the quarter ended Oct. 31 as margins declined.

Verint shares added 0.3 percent to close Wednesday at $38.30 on the Nasdaq Stock Market, but after hours shares tumbled 12.3 percent to $33.60. Verint stock is down 5.6 percent since the beginning of the year.

The Melville company reported that revenue fell 8.8 percent to $258.9 million compared with the year-ago quarter. The company had a net loss of $8.2 million versus net income of $7.6 million in the 2015 quarter.

Gross margins fell to 60.1 percent from 62.9 percent a year earlier.

Verint chief executive and president Dan Bodner said in a statement that governments’ demand for the company’s cyber-intelligence software was increasing.

“We expect to finish the year with a strong fourth quarter and expect mid-to-high single-digit revenue growth on a constant currency basis next year in cyber-intelligence,” he said. About a third of revenue is attributable to cyber-intelligence products with call-center software accounting for the rest.

By Ken Schachter

kenneth.schachter@newsday.comkschach

Ken Schachter covers corporate news, including technology and aerospace, and other business topics for Newsday. He has also worked at The Miami Herald and The Jerusalem Post.