ANALYST KENNETH Bohringer thought things were looking up at Barrister Information Systems Corp. -- until the Buffalo-based company reported an 18 percent drop in its second-quarter revenue.
As a result, Bohringer, who follows Barrister for Prudential-Bache Securities, has taken a more pessimistic view of the company. He now thinks Barrister will lose 40 cents a share during the fiscal year that ends in March 1991, rather than the loss of 5 cents a share he had been expecting.
The big problem for Barrister, which makes computer systems for law firms, is that its revenues keep falling, canceling out some of the benefits from its cost-cutting program. "Barrister clearly needs to increase revenues before it can earn a profit even on its reduced cost base," he says.
One potential bright spot for Barrister is its long-delayed Advanced Law Firm Management System, which currently is being installed at two law firms. If the new system is popular, it could bolster Barrister's earnings.