Red Hat EMEA sales have bounced strongly following a soft FQ2, making up 29% of revenue (up from 23% in the prior quarter).
Red Hat's Q3 saw total revenue for the quarter at $397m, an increase of 15% from the year ago quarter, 17% in constant currency. Subscription revenue for the quarter was $343 million, up 17%. "Strong demand in Q3 for our core Red Hat Enterprise Linux and JBossMiddleware technologies led to results that exceeded guidance across several key financial metrics," says CEO Jim Whitehurst,
Net income for the quarter was $52m compared with $35 million. "We experienced an acceleration in our billings proxy growth in Q3, both year-over-year and sequentially, due in part to the strengthening of our European and US federal government businesses," says Charlie Peters, EVP and Chief Financial Officer.
Subscription revenue (86% of total revenue) rose 17% yr/yr, even with a poor Q2. Training/services revenue rose 9%. Linux server share gains appear to be giving Red Hat a lift, as is the company's growing middleware business.