05:29 PM EDT, 06/04/2025 (MT Newswires) -- Descartes Systems Group ( DSGX ) was at last look down less than 1% in after-hours Nasdaq trading Wednesday -- having been down near 8% a short time ago -- as it reported an earnings miss for its fiscal first quarter, on lower than expected revenues amid a "challenging and uncertain economic and trade environment".

The logistics-software company reported net income of US$36.2 million, down from US$34.7 million in the year-prior quarter.

Descartes recorded earnings per share of US$0.41, up from US$0.40 a year earlier, missing a FactSet forecast of $0.45.

Revenues rose to US$168.7 million from US$151.3 million a year earlier, but it missed a FactSet forecast of $174.7 million.

Among other highlights, at April 30, 2025, Descartes had $176.4 million in cash. Cash decreased by $59.7 million in Q1FY26.

The company said in considering the economic and global trade uncertainty many Descartes customers are facing, it has undertaken cost-reduction initiatives designed to reduce its cost base. The plan is designed to reduce Descartes' global workforce by approximately 7% and eliminate various other operating expenses. As a result, Descartes expects to incur restructuring charges of approximately $4 million in the second quarter of fiscal 2026, which will also impact cash generated from operations in Q2FY26. Once completed, Descartes anticipates annualized cost savings of approximately $15 million.

In a management update, Descartes appointed William Green as Executive Vice President, Global Sales. Also, Andrew Roszko, Descartes' Chief Commercial Officer, will depart the company to pursue another opportunity.

"Our first quarter of fiscal 2026 showed strong annual growth, consistent with our communicated plans," said chief executive Edward Ryan. "This is a challenging and uncertain economic and trade environment for shippers, carriers and logistics services providers. They face challenges on how, when, or if, to react to changes in global trade relationships, tariffs, sanctions and economic forecasts. We continue to see strong interest in our domain expertise and our solutions to help companies navigate the complex trade landscape. We remain committed to growing our business with prudent investments and cost discipline to build the premier network and technology for logistics-intensive businesses."

The company's shares were last seen down US$9.03 to US$106.58 after hours. They closed up $0.24 to $158.09 on the Toronto Stock Exchange.