News brief: Amdocs hits another record

Ray Le Maistre
By Ray Le Maistre

Feb 1, 2023

  • Telecom software and services giant continues to grow
  • It just reported record quarterly revenues
  • And it’s involved in a lot of key digital service provider developments

Belts might be tightening and many network operators might be looking to spend less these days, but those macroeconomic trends don’t seem to be affecting telecom software and professional support services giant Amdocs, which has just reported record quarterly revenues of almost $1.19bn.     

For the three months to the end of December 2022 (the vendor’s fiscal first quarter), Amdocs reported sales of $1.186bn, up by 7.3% year on year in reported numbers, but up an even more impressive 9.5% at constant currency rates. Its operating profit for the quarter came in at $150m, down from $160m a year ago, although the dip was mainly attributable to restructuring charges, noted the vendor. 

The company also increased its forecast for full fiscal year sales growth. Previously it had expected revenues to grow by between 4% and 8%, but now it forecasts growth of between 5% and 9%.   

Despite its profitability and ongoing sales growth, Amdocs is in the process of cutting about 700 staff – see News brief: Amdocs to cut 2% to 3% of workforce.

The company’s ongoing financial success is down to its ability to identify and then build propositions for the operational and business challenges facing communications service providers, such as the shift to cloud platforms and the need to drive greater revenues from 5G services. 

Those abilities are reflected in the vendor’s latest swathe of customer announcements, which include a new deal with Globe in the Philippines to help it “quickly launch differentiated 5G services to consumers and businesses across all lines of business” using the Amdocs real-time charging solution. That platform will enable the operator to “support API-based charging, allowing Globe to monetise digital and fintech services.”

- Ray Le Maistre, Editorial Director, TelecomTV

 

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