LONDON, September 25, 2014 /PRNewswire/ --

Investor-Edge.com has issued free earnings analysis on Red Hat Inc. (NYSE: RHT). The company reported financial results on September 18, 2014 for Q2 FY15 (period ended August 31, 2014). During Q2 FY15, Red Hat Inc.'s revenue increased 19% on a Y-o-Y basis and its GAAP diluted EPS grew 4 cents from the year ago quarter. Our free coverage report can be accessed at:

www.investor-edge.com/register [http://www.investor-edge.com/register ]

Earnings Overview

Red Hat Inc.'s total revenue for Q2 FY15 increased to $445.90 million from $374.42 million in the previous year quarter. Analysts from Bloomberg were anticipating the company to report revenue of $434.81 million during the reported quarter. The company's subscription revenue for Q2 FY15 grew 19% to $389.50 million from $326.69 million in Q2 FY14. Further, the company's training and services revenue during the reported quarter increased to $56.40 million from $47.73 million in the preceding year quarter. The free research on RHT can be downloaded as in PDF format at:

www.Investor-Edge.com/RHTFreeReport [http://www.investor-edge.com/RHTFreeReport ]

The company's GAAP operating income for Q2 FY15 broadened 16% to $64.23 million from $55.57 million in the previous year quarter. On an adjusted basis, Red Hat Inc. reported non-GAAP operating income of $108.83 million in Q2 FY15, compared to $94.24 million in Q2 FY14, reflecting an increase of 15%. The company's GAAP and non-GAAP operating margin for the reported quarter stood at 14.4% and 24.4%, respectively. Red Hat Inc.'s GAAP net income for Q2 FY15 increased to $46.82 million, or $0.25 per diluted share, from $40.81 million, or $0.21 per diluted share, in the preceding year quarter. The reported quarter's GAAP net income outperformed Bloomberg analysts' forecasts of $43.81 million, or $0.23 per diluted share. After adjusting for stock compensation, amortization expenses, certain facility exit costs and transaction costs related to business combinations, the company's Q2 FY15 non-GAAP net income increased to $78.49 million, or $0.41 per diluted share, from $67.87 million, or $0.35 per diluted share, in Q2 FY14.

As of August 31, 2014, Red Hat Inc.'s operating cash flow stood at $107.74 million, compared with $118.93 million, as of August 31, 2013. During Q2 FY15, the company repurchased approximately 1.5 million shares of common stock for approximately $80 million.

Jim Whitehurst, President and CEO of Red Hat Inc., stated that the broad demand for open source technologies, combined with the company's value proposition and market leadership position, has helped the company to drive organic revenue growth in the mid-to-high teens for the last ten quarters. Mr. Whitehurst mentioned that the company's high level of execution and commitment to investing across its technology stack, including enabling open, hybrid cloud computing in the enterprise, has once again led to Red Hat being recognized by Forbes Inc. on its list of the World's Most Innovative Companies. Sign up and read the free analyst's notes on RHT at:

www.Investor-Edge.com/RHT-25092014 [http://www.investor-edge.com/RHT-25092014 ]

Charlie Peters, Executive Vice President and CFO of Red Hat Inc., stated in the press release that the company experienced strong growth across it routes to market during the Q2 FY15. The fastest growing part of the company's channel business came from the 80+ Red Hat certified public cloud providers that provide the company's technologies on-demand in their clouds. Mr. Peters added that the rapid revenue growth from Red Hat certified public cloud partners, which contain no deferred revenue, helped the company to meaningfully exceed its Q2 FY15 revenue guidance.

Stock Performance

A day after the earnings release, on September 19, 2014, shares in Red Hat Inc. took a beating of 4.50%, and ended the session at $57.93. The stock has declined further since then, although, on the last close, Wednesday, September 24, 2014, it finished at $56.90, 1.01% higher than its previous day's closing price. The stock vacillated between $56.01 and $57.08 during the last session. A total of 1.31 million shares were traded, which was slightly below its three months average volume of 1.35 million shares. Over the previous three trading sessions and over the last one month, the company's shares have lost 1.78% and 8.39%, respectively. However, the stock has gained 1.53% from the beginning of 2014. Shares in Red Hat Inc. are trading above their 200-day moving average of $55.21 but below their 50-day moving average of $59.07. The company's shares traded at a PE ratio of 58.85 and have a Relative Strength Index (RSI) of 31.75. Visit Investor-Edge and access the latest research on RHT at:

www.Investor-Edge.com/RHTEarningsCoverage [http://www.investor-edge.com/RHTEarningsCoverage ]

Sneak Peek to Corporate Insider Trading

In the last one month Red Hat Inc. has not reported any share transactions by insiders to the U.S. Securities and Exchange Commission (SEC). Complimentary in-depth research on RHT is available at:

www.Investor-Edge.com/RHTInsiderTrading [http://www.investor-edge.com/RHTInsiderTrading ]

About Investor-Edge.com

At Investor-Edge, we provide our members with a simple and reliable way to leverage our economy of scale. Most investors do not have time to track all publicly traded companies, much less perform an in-depth review and analysis of the complexities contained in each situation. That's where Investor-Edge comes in. We provide a single unified platform for investors' to hear about what matters. Situation alerts, moving events, and upcoming opportunities.

===============

EDITOR'S NOTES:

===============

1. This is not company news. We are an independent source and our views do not reflect the companies mentioned.

2. Information in this release is produced on a best efforts basis by Rohit Tuli, a CFA charterholder. The content is then further fact checked and reviewed by an outsourced research provider. However, we are only human and are prone to make mistakes. If you notice any errors or omissions, please notify us below.

3. This information is submitted as a net-positive to companies mentioned, to increase awareness for mentioned companies to our subscriber base and the investing public.

4. If you wish to have your company covered in more detail by our team, or wish to learn more about our services, please contact us at pubco [at] www.investor-edge.com.

5. For any urgent concerns or inquiries, please contact us at compliance [at] www.investor-edge.com.

6. Are you a public company? Would you like to see similar coverage on your company? Send us a full investors' package to research [at] www.investor-edge.com for consideration.

COMPLIANCE PROCEDURE

Content is researched, written and reviewed on a best-effort basis. This document, article or report is prepared and authored by Investor-Edge, represented by Rohit Tuli, CFA. An outsourced research services provider has only reviewed the information provided by Investor-Edge in this article or report according to the procedures outlined by Investor-Edge. Investor-Edge is not entitled to veto or interfere in the application of such procedures by the outsourced provider to the articles, documents or reports, as the case may be.

NOT FINANCIAL ADVICE

Investor-Edge makes no warranty, expressed or implied, as to the accuracy or completeness or fitness for a purpose (investment or otherwise), of the information provided in this document. This information is not to be construed as personal financial advice. Readers are encouraged to consult their personal financial advisor before making any decisions to buy, sell or hold any securities mentioned herein.

NO WARRANTY OR LIABILITY ASSUMED

Investor-Edge is not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted by Investor-Edge whatsoever for any direct, indirect or consequential loss arising from the use of this document. Investor-Edge expressly disclaims any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Investor-Edge does not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.

CFA(R) and Chartered Financial Analyst(R) are registered trademarks owned by CFA Institute.

SOURCE Investor-Edge