CTXS Citrix Systems Inc

  By Tess Stynes 
 

Citrix Systems Inc. (CTXS) named Executive Chairman Robert Calderoni as its interim chief executive as the software maker posted better-than-expected third-quarter results and raised its 2015 earnings outlook.

Shares rose 5.5% to $75.90 in recent after-hours trading as per-share earnings and revenue beat expectations.

The software maker named Mr. Calderoni as interim chief as it continues its search for a permanent successor to Mark Templeton, who in July announced plans to retire but at the time was expected to stay on until a successor was found. In its news release Wednesday, the company said Mr. Templeton will serve in an advisory role through the end of the year.

In July, the software maker announced a series of leadership and potential structural changes in the wake of pressure from investor Elliott Management Corp. At the time, Citrix also said a board committee would undertake a comprehensive review of its operations.

Mr. Calderoni said Wednesday that in addition to the search for a new CEO, he would focus on "continuing the momentum we have in our operational and strategic review of the business."

In prepared remarks on Wednesday, Mr. Templeton said Citrix's results are starting to reflect the benefits of the actions taken since the start of the year to improve its operating margin and drive integrations among products.

Overall, Citrix reported a profit of $55.9 million, or 35 cents a share, up from $47.5 million, or 29 cents a share, a year earlier. Excluding stock-based compensation, acquisition-related charges and other items, per-share earnings rose to $1.04 from 75 cents. Revenue increased 7.2% to $813.3 million.

The company expected per-share profit, excluding items, of 83 cents to 85 cents and revenue of $780 million to $790 million.

For the year, the Ft. Lauderdale, Fla., company raised its per-share earnings estimate, excluding items, to $3.85 to $3.90 on revenue of $3.24 billion to $3.25 billion. Previously, the company estimated per-share profit of $3.65 to $3.75 and revenue of $3.22 billion to $3.25 billion.

Citrix rose to prominence in the 1990s as a supplier of software that allowed multiple terminals run PC programs installed on a server. Citrix expanded into related businesses over the years and more recently grew through a series of acquisitions.

Elliott, which has pushed for changes at a number of tech companies, wrote a letter to Citrix in June arguing that the company had lost its focus. The investor advocated measures that included selling or spinning off some divisions, buying back shares, cutting costs and overhauling the sales force.

Write to Tess Stynes at tess.stynes@wsj.com

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(END) Dow Jones Newswires

October 21, 2015 17:00 ET (21:00 GMT)

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