SkillSoft, the e-learning firm that owns SmartForce, reported a 23 per cent drop in profit yesterday as it continues to pay restructuring charges and fees related to a regulatory enquiry.
However, shares in SkillSoft rose by about 10 per cent in early trading as investors welcomed better than expected revenue growth.
Turnover rose 1 per cent to $53.3 million (€43.4 million) in the three months to the end of April, up from $52.8 million a year earlier.
The company, which employs almost 100 people in Dublin, made a profit worth $2.27 million in the three months to the end of April 2005, down from $3.2 million in the same period of 2004.
In its first-quarter results statement, SkillSoft said net income was two US cents per share compared to three cents in the same period a year earlier.
The firm said net income during the quarter included restatement and restructuring expenses of $1 million.
About $250,000 of this was spent on a long-running regulatory enquiry by the Securities and Exchange Commission (SEC).
A further $700,000 was spent on closing down its SmartCertify business in the US.
SkillSoft has been the subject of an SEC enquiry for more than two years following its admission that SmartForce overstated its revenues prior to its merger with the firm.
SkillSoft has subsequently restated its accounts and re-filed statutory tax returns.
