Nice Systems Q3 profit meets estimates

Reuters

* Q3 EPS ex-items $0.62 vs $0.62 forecast

* Revenue up 4.2 pct to $230.1 mln

* Sees Q4 revenue $260-$275 mln, adj EPS $0.72-$0.77

TEL AVIV, Oct 30 (Reuters) - Israel-based software providerNice Systems reported lower quarterly profit that metestimates, and predicted a strong end of the year, in part dueto growing demand for analytics products.

Nice said on Wednesday it earned 62 cents perdiluted share excluding one-time items in the third quarter,down from 64 cents a year earlier, after posting higheroperating expenses.

Revenue grew 4.2 percent to $230.1 million.

The company was forecast to have recorded EPS of 62 cents onrevenue of $233.6 million, according to Thomson Reuters I/B/E/S.Nice itself had projected revenue of $225-$240 million and EPSof 55-66 cents.

"We believe that with the robust demand for our products anda healthy pipeline of large, multi-product deals, we arewell-positioned for a strong finish to the year," said ZeeviBregman, Nice's chief executive.

During the quarter, Nice said it took advantage of a specialIsraeli government programme that allows local companies torelease so-called trapped profits by paying a discounted taxpayment.

As a result, Nice reported a tax expense of $19.2 million,or 31 cents a share. The total cash payment related to therelease of trapped profits as well as a tax audit settlement was$30.9 million. Including one-time items, Nice lost 6 cents pershare, down from a quarterly gain of 27 cents a year earlier.

Nice has benefited from growing demand for tools to delveinto large amounts of data as companies look to improve theirbusinesses, spot fraud and fend off security threats.

Nice also makes sure call centres work efficiently, whileits systems aid in surveillance for security forces trying toprotect buildings and transport networks against attack.

The company forecast fourth-quarter revenue of $260-$275million and adjusted EPS of 72 to 77 cents. Nice also loweredthe upper end of its 2013 expectations and now sees for revenueof $940-$955 million and EPS ex-items of $2.55-$2.60.

Nice declared a quarterly dividend of 16 cents a share,unchanged from the first two quarters.

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