4:28PM Avid Tech beats by $0.05 (AVID) 38.66 +0.63 : Reports Q1 (Mar) earnings of $0.25 per share, $0.05 better than the Reuters Estimates consensus of $0.20; revenues rose 0.4% year/year to $218.9 mln vs the $226.3 mln consensus. CEO comments, "Although we're pleased that our bottom-line results were at the high end of our expectations due to careful cost controls and favorable one-time tax adjustments, sustained, profitable growth is our main objective". Co also announces approval of a $100 mln buyback.
Just for thought. If you were an exec at AVID, who's board just authorized 100 million in stock repurchases on the open market, what harm would there be in making this statement about focusing the staff on providing more incremental releases of new products: "While this will negatively impact our ability to recognize incremental revenue out of our backlog by one to two quarters, it should have a positive impact on our run-rate business..."
Mmmm...not illegal...not untrue... not harmful to the long term outlook, but possibly enough to cause a short term pullback. And right when you have some money to buy AVID stock on the open market. Would you craft a statement like this if you could? Not a conspiracist, just thinking.