Portal Software Advances on Exodus Contract

Portal Software (Nasdaq: PRSF) picked up 58 U.S. cents to $7.17 in morning trading Tuesday, after the business infrastructure software maker said Exodus Communications (Nasdaq: EXDS) plans to use Infranet, the company's customer management and billing service. Terms of the agreement were not disclosed.

Portal said Exodus, a provider of Web hosting services, will use Infranet to manage customer accounts and bill for its services.

Steve Sommer, vice president of marketing and business development at Portal, said his company expects demand for Infranet to grow as companies continue to outsource services.

Sommer said, "As more business services are being migrated to hosted applications, companies require a real-time customer management and billing solution that can be easily integrated with other operational and service systems."

Portal has announced a number of new contracts in recent months, signing up Nokia Networks and Time Warner Cable, among other companies, to use its Infranet product.

Nokia will use Infranet as part of its Charging Center wireless product, and Time Warner Cable will use it to manage customer accounts and billing for its broadband cable services.

Portal, based in Cuptertino, California, in February reported a 108 percent rise in fourth-quarter revenue to $81.1 million. Income before extraordinary items increased to $6.9 million, or 4 cents per share, from $369,000, or breakeven.

The company posted a net loss for the latest quarter of $18 million, or 11 cents per share, including $24.9 million in costs related to a November acquisition.