Pleasanton, CA April 18, 2002 e-Procurement platform provider Commerce One this week reported reduced earnings and announced it would lay off about one-third of its staff.
The solution provider said first quarter revenues came in at $31.8 million, down from $170.3 million for the same period last year and just over half the $56.0 million that the company brought in during the last quarter of 2001.
Commerce One reported a pro forma net loss for the first quarter of $55.4 million, and a net loss under generally accepted accounting principles (GAAP) of $220.6 million, compared to $24.1 million and $228.5 million, respectively, for the same period last year.
The company also announced it would lay off about 500 workers, or about 30 percent of its workforce, bringing its total number of employees down to 1,100. Just six months ago, Commerce One laid off 1,300 jobs workers.
Mark Hoffman, chairman and chief executive officer of Commerce One, put a brave face on the news in a statement from the company, saying, "We believe that our continued focus on accelerating product development in tandem with careful cost controls will position us well when IT spending rebounds."
Commerce One reportedly had about $247 million in cash reserves at the end of the first quarter and expected to finish this year with $150 million or more in the bank. The company lost $2.6 billion in 2001, a year that saw the solution provider bring in just over $400 million in revenues.
Commerce One competitor Ariba is due to announce its first quarter results on April 24.