Dale Fuller gave up the CEO job at Borland Thursday as the company revealed a bad revenue miss in its second quarter which resulted in a major stock hit.
The software maker yesterday revealed that second quarter figures would not come in as expected. Preliminary figures show Borland's revenue coming in between $65m and $67m - well below an earlier forecast of revenue between $70m and $73m. CEO Dale Fuller is stepping down and will be replaced on an interim basis by Scott Arnold, an EVP and COO at Borland.
"I would like to thank Dale for his six years of service and his leadership during the initial stages of Borland's transition," said Borland Chairman William Hooper. "While we are disappointed with the second quarter results, we continue to see positive developments in demand for the company's ALM (application lifecycle management) products and customer success in Borland's largest ALM implementations."
Fuller will remain on Borland's board.
At the time of this report, shares of Borland were down close to 10 per cent at $6.05.
Borland expects to report full second quarter results on Aug. 2. It will post a loss of between 24 and 26 cents per share.
Borland attributed the shortfall to weaker than expected software sales with Europe being a particularly painful region. A stronger dollar and Borland's failure to close deals in Europe undermined previous Q2 forecasts, the company said.
In April, Borland issued a similar revenue warning for its first quarter. You don't make friends by dashing investors' hopes time and again.®