Descartes profit surges on tax recovery

Waterloo, Ontario-based Descartes Systems Group Inc. posted a net income of $22.4 million for is fiscal year ended Jan. 31, compared to a $4 million in the previous year.

The recent fiscal year was boosted by a fourth quarter $16 million non-cash, deferred income tax recovery.

The Canadian logistics software company, which reports its financial results in U.S. dollars, achieved an annual revenue increase of 13.5 percent to $59 million from $52 million.

Our prudent management in light of a deteriorating U.S. dollar and difficult global economy, coupled with our careful attention to our operating model and acquisition integration strategy, resulted in a positive impact to our bottom line," said Stephanie Ratza, Descartes' chief financial officer. "Our core business is performing well, we continue to have a solid balance sheet with a healthy cash position, and we are generating cash from operations. This creates an excellent platform to continue to provide value for our customers and shareholders.