ObjectShare to Show Losses in Revised Results for 1998

Computer software and services firm ObjectShare Inc. said Wednesday it expects to report significant losses for the first three quarters of fiscal 1998 because of accounting glitches that have forced the Irvine company to restate its earnings.

ObjectShare said it will have to restate its results for the first two quarters and is delaying its report on the third period, which ended Dec. 31, until next week to sort out the accounting issues.

The Nasdaq ordered trading of the software company’s stock halted on Wednesday morning, and requested more information. Nasdaq officials declined to comment. The stock closed Tuesday at $1.06, unchanged.

ObjectShare said in a statement that its management has had to spend a significant amount of time addressing the accounting issues. Company officials could not be reached for comment Wednesday.

For the first fiscal quarter ended June 30, the company posted a $29,000 profit, compared with a $2.5-million loss, or 21 cents a share, a year earlier. The company posted a $10,000 profit in the second fiscal quarter, versus a $5-million, 42-cents-a-share loss a year earlier.

In July, ObjectShare landed a one-year contract worth several million dollars--one of the largest in its history--to provide professional services to Bell Atlantic Corp.’s network services unit. The Orange County software company said the contract was for the development and support of a customer service software system.