Exhibit 99.1

NEWS For Immediate Release

Editorial Contact: Joe Horine

614-726-4775

joe.horine@quest.com

Investor Contact: Stephen Wideman

949-754-8142

stephen.wideman@quest.com

QUEST SOFTWARE REPORTS FINANCIAL RESULTS FOR Q4 AND FISCAL YEAR 2007

Company Posts $631 Million in Revenue for 2007;

Double Digit Revenue Growth for Both the Fourth Quarter and the Year

ALISO VIEJO, Calif., February 5, 2008 – Quest Software, Inc. (Nasdaq: QSFT) today reported preliminary operating results for the fourth quarter and fiscal year ended December 31, 2007. Total revenues increased approximately 12% year-over-year to $186.7 million in the fourth quarter of 2007 compared to fourth quarter 2006 revenue of $167.3 million. For the year, total revenues increased approximately 12% to $631.0 million in fiscal 2007 compared to total revenues of $561.6 million in fiscal 2006.

GAAP Results

Quest Software’s GAAP net income for the fourth quarter of 2007 was $24.1 million, or $0.23 per diluted share. The GAAP operating margin was 12% in the fourth quarter, resulting in GAAP operating income of $22.8 million. Net income for the full year ended December 31, 2007 was $61.9 million or $0.59 per diluted share versus net income of $59.0 million or $0.57 per diluted share for the comparable period in 2006. Operating income for fiscal 2007 was $68.3 million, a 9% increase over the same period in 2006. Quest generated cash flow from operations of $41.9 million in the December 2007 quarter.

Non-GAAP Results

On a non-GAAP basis, net income for the fourth quarter 2007 was $27.8 million or $0.26 per diluted share. The non-GAAP operating margin was 20% for the fourth quarter, resulting in pro-forma operating income of $38.0 million. Non-GAAP net income for fiscal 2007 was $94.8 million resulting in $0.90 per diluted share. Non-GAAP operating income for fiscal 2007 was $118.7 million, a 2% increase over fiscal 2006.

Quest Software Reports Financial Results for Q4 and Fiscal Year 2007 Page 2

Non-GAAP results exclude the after-tax effects of amortization of intangible assets acquired with business combinations, share-based compensation expenses, the write-off of in-process research and development, professional services fees related to our restatement efforts and gain from the sale of our corporate aircraft. A reconciliation of GAAP to non-GAAP financial results is included with this press release.

“Our positive financial and operating results for the fourth quarter and the full year demonstrate the on-going success in helping customers manage their IT environments that is allowing us to continue growing the business,” said Vinny Smith, chairman and chief executive officer, Quest Software. “We made a number of strategic acquisitions during 2007 in key areas like SharePoint, desktop management and virtualization that all position us to meet an even broader set of customer needs moving forward in 2008 and beyond.”

Financial Outlook

Quest Software management offers the following guidance for the twelve months ending December 31, 2008:

• Annual revenue is expected to be in the range of $705 million to $720 million;

• GAAP operating margin is expected to be in the range of 11.0% to 12.0%. Our GAAP guidance is based on information available as of the date of this release;

• Non-GAAP operating margin is expected to be in the range of 16.5% to 17.5%. The non-GAAP guidance excludes approximately $24.7 million in amortization of acquisition-related intangible assets, $12.9 million related to share-based compensation expense attributable to outstanding unvested shares as of December 31, 2007 and $1.5 million in professional services fees for restatement related matters.

Fourth Quarter and Fiscal 2007 Conference Call Information

Quest Software will host a conference call today, Tuesday, February 5, 2008 at 2:00 p.m. Pacific Time, to discuss its results. A simultaneous Web cast of the conference call will be available on Quest Software’s Web site in the Investors – IR Events section at www.quest.com. A Web cast replay will be available on the same Web site through February 5, 2009. An audio replay of the call will also be available through February 12, 2008 by dialing (888) 203-1112 (from the U.S. or Canada) or (719) 457-0820 (outside the U.S. and Canada), using confirmation code: 1815438.

Quest Software Reports Financial Results for Q4 and Fiscal Year 2007 Page 3

About Quest Software, Inc.

Quest Software, Inc. delivers innovative products that help organizations get more performance and productivity from their applications, databases and Windows infrastructure. Through a deep expertise in IT operations and a continued focus on what works best, Quest helps more than 50,000 customers worldwide meet higher expectations for enterprise IT. Quest Software can be found in offices around the globe and at www.quest.com.

Quest and Quest Software are registered trademarks of Quest Software, Inc. The Quest Software logo and all other Quest Software product or service names and slogans are registered trademarks or trademarks of Quest Software, Inc. All other trademarks and registered trademarks are property of their respective owners.

Web Links Referenced in this Release:

Quest Software, Inc. – www.quest.com

Forward-Looking Statements

This release and the matters to be discussed on the conference call may include predictions, estimates and other information that might be considered forward-looking statements, including statements relating to expectations of future revenue and operating margin performance. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ from those anticipated as a result of various factors, including: the impact of adverse changes in general economic conditions on our relationships with customers, strategic partners and vendors; reductions or delays in information technology spending; variations in demand or the size and timing of customer orders; competitive conditions in our various product areas; rapid technological change; risks associated with the development and market acceptance of new products and product strategies; disruptions caused by acquisitions of companies and/or technologies; fluctuating currency exchange rates and risks associated with international operations; the need to attract and retain qualified employees; and other risks inherent in software businesses. For a discussion of these and other related risks, please refer to our recent SEC filings, including our Annual Report on Form 10-K for the year ended December 31, 2006 and our Quarterly Reports on Form 10-Q for subsequent periods, which are available on the SEC’s website at www.sec.gov. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date thereof. We undertake no obligation to update forward-looking statements to reflect events or circumstances after the date thereof.

Quest Software Reports Financial Results for Q4 and Fiscal Year 2007 Page 4

QUEST SOFTWARE, INC.

CONSOLIDATED INCOME STATEMENTS

(In thousands, except per share data)

(Unaudited)

	Three Months Ended December 31,				Twelve Months Ended December 31,
	2007		2006		2007		2006
Revenues:
Licenses	$	98,948	$	92,760	$	308,652	$	290,247
Services		87,797		74,536		322,329		271,342
Total revenues		186,745		167,296		630,981		561,589
Cost of revenues:
Licenses		2,162		1,824		6,111		5,570
Services		15,091		13,387		55,173		49,773
Amortization of purchased technology		4,320		5,654		14,459		15,932
Total cost of revenues		21,573		20,865		75,743		71,275
Gross profit		165,172		146,431		555,238		490,314
Operating expenses:
Sales and marketing		80,752		67,444		275,037		247,500
Research and development		34,730		27,221		122,592		110,612
General and administrative		24,348		17,010		81,758		65,821
Amortization of other purchased intangible assets		2,279		1,547		7,345		6,758
In-process research and development		220		110		220		960
Total operating expenses		142,329		113,332		486,952		431,651
Gain on sale of corporate aircraft		—		3,987		—		3,987
Income from operations		22,843		37,086		68,286		62,650
Other income, net		2,972		5,385		21,169		13,005
Income before income tax provision		25,815		42,471		89,455		75,655
Income tax provision		1,716		9,130		27,528		16,670
Net income	$	24,099	$	33,341	$	61,927	$	58,985
Net income per share:
Basic	$	0.24	$	0.33	$	0.61	$	0.58
Diluted	$	0.23	$	0.32	$	0.59	$	0.57
Weighted average shares:
Basic		101,819		101,819		101,819		101,380
Diluted		105,924		104,615		105,284		104,103

Quest Software Reports Financial Results for Q4 and Fiscal Year 2007 Page 5

QUEST SOFTWARE, INC.

CONSOLIDATED BALANCE SHEETS

(In thousands)

(Unaudited)

	December 31, 2007		December 31, 2006
ASSETS
Current assets:
Cash and cash equivalents	$	235,568	$	286,164
Restricted cash for an acquisition		48,924		—
Short-term marketable securities available for sale		60,557		80,112
Accounts receivable, net		151,186		132,983
Prepaid expenses and other current assets		19,022		14,899
Deferred income taxes		11,014		9,800
Total current assets		526,271		523,958
Property and equipment, net		75,848		75,817
Long-term marketable securities		20,666		23,884
Intangible assets, net		76,641		48,136
Goodwill		563,766		445,059
Deferred income taxes		34,812		33,679
Other assets		18,025		11,004
Total assets	$	1,316,029	$	1,161,537
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable		4,590		5,182
Accrued compensation		46,437		35,973
Other accrued expenses		43,313		35,949
Income taxes payable		1,902		27,832
Current portion of deferred revenue		211,840		177,372
Total current liabilities		308,082		282,308
Long-term liabilities:
Long-term portion of deferred revenue		73,820		58,187
Income taxes payable		35,281		—
Other long-term liabilities		2,712		2,129
Total long-term liabilities		111,813		60,316
Shareholders’ equity		896,134		818,913
Total liabilities and shareholders’ equity	$	1,316,029	$	1,161,537

Quest Software Reports Financial Results for Q4 and Fiscal Year 2007 Page 6

QUEST SOFTWARE, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

(Unaudited)

	Three Months Ended December 31,						Twelve Months Ended December 31,
	2007			2006			2007			2006
Cash flows from operating activities:
Net income	$	24,099		$	33,341		$	61,927		$	58,985
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		10,769			10,512			37,362			36,796
Compensation expense associated with stock option grants		3,495			6,448			17,455			27,700
Deferred income taxes		(11,202	)		(21,911	)		(16,352	)		(21,926	)
Gain on sale of corporate aircraft		—			(3,987	)		—			(3,987	)
(Gain) loss on disposition of assets		308			(411	)		308			(411	)
Excess tax benefit related to share-based compensation		—			—			—			(6,180	)
Provision for bad debts		206			(782	)		302			(615	)
In-process research and development		220			110			220			960
Changes in operating assets and liabilities, net of effects of acquisitions:
Accounts receivable		(40,125	)		(36,208	)		(9,243	)		(17,740	)
Prepaid expenses and other current assets		(3,960	)		(1,111	)		(3,670	)		983
Other assets		295			(170	)		(575	)		(2,110	)
Accounts payable		(1,508	)		(181	)		(2,815	)		785
Accrued compensation		9,852			4,763			8,679			1,091
Other accrued expenses		6,177			3,157			1,394			1,100
Income taxes payable		10,711			27,238			6,680			12,685
Deferred revenue		34,999			36,755			38,140			60,521
Other liabilities		(2,475	)		(8	)		(2,376	)		(260	)
Net cash provided by operating activities		41,861			57,555			137,436			148,377
Cash flows from investing activities:
Purchases of property and equipment, net		(2,945	)		(2,351	)		(13,050	)		(16,639	)
Proceeds from sale of corporate aircraft		—			15,600			—			15,600
Cash paid for acquisitions, net of cash acquired		(39,257	)		—			(146,842	)		(17,472	)
Cash designated for an acquisition		(48,924	)		—			(48,924	)		—
Purchases of cost-method investments		(12	)		—			(6,109	)		(3,803	)
Purchases of marketable securities		(30,766	)		(60,754	)		(30,766	)		(60,754	)
Sales and maturities of marketable securities		31,412			46,523			58,396			79,379
Net cash used in investing activities		(90,492	)		(982	)		(187,295	)		(3,689	)
Cash flows from financing activities:
Repayment of capital lease obligations		(133	)		(25	)		(280	)		(224	)
Proceeds from the exercise of stock options		(158	)		—			—			18,825
Proceeds from stock option repricings		158			—			158			—
Excess tax benefit related to share-based compensation		—			—			—			6,180
Net cash provided by (used in) financing activities		(133	)		(25	)		(122	)		24,781
Effect of exchange rate changes on cash and cash equivalents		(224	)		(1,488	)		(615	)		(4,330	)
Net increase (decrease) in cash and cash equivalents		(48,988	)		55,060			(50,596	)		165,139
Cash and cash equivalents, beginning of period		284,556			231,104			286,164			121,025
Cash and cash equivalents, end of period	$	235,568		$	286,164		$	235,568		$	286,164

Quest Software Reports Financial Results for Q4 and Fiscal Year 2007 Page 7

Reconciliation of Non-GAAP Financial Measures to Comparable U.S. GAAP Measures (Unaudited)

The Company has provided a reconciliation of each non-GAAP financial measure used in this earnings release and related conference call and webcast to the most directly comparable GAAP financial measure. These measures differ from GAAP in that they exclude amortization of intangible assets acquired with business combinations, share-based compensation expenses, the write-off of in-process research and development, professional services fees related to our restatement efforts, gain from the sale of our corporate aircraft and the estimated tax effect related to each of these items. The Company’s basis for these adjustments is described below.

Quest Software’s management prepares and uses non-GAAP financial measures in the presentation of the Company’s results to provide a consistent understanding of its historical operating performance and comparisons with peer companies. Management believes that non-GAAP reporting provides a more meaningful representation of the Company’s on-going economic performance and therefore uses non-GAAP reporting internally to evaluate and manage the Company’s operations. The Company’s management believes that by excluding charges such as such as those described above from its GAAP-based results, these non-GAAP financial measures are more likely to facilitate investors’ understanding of the Company’s ongoing business operating results. These non-GAAP financial measures also facilitate comparisons to the operating results of the Company’s competitors and provide investors with greater transparency with respect to the supplemental information used by management in its operational and financial decision making.

Management excludes the expenses described above when evaluating the Company’s operating performance and believes that the resulting non-GAAP measures are useful to investors and financial analysts in assessing the Company’s operating performance due to the following factors:

• The Company does not acquire businesses on a predictable cycle. The Company, therefore, believes that the presentation of non-GAAP measures that adjust for the impact of amortization and in-process research and development that are related to business combinations, provide investors and financial analysts with a consistent basis for comparison across accounting periods and, therefore, are useful to investors and financial analysts in helping them to better understand the Company’s operating results and underlying operational trends.

Quest Software Reports Financial Results for Q4 and Fiscal Year 2007 Page 8

• Amortization costs are fixed at the time of an acquisition, are then amortized over a period of several years after the acquisition and generally cannot be changed or influenced by management after the acquisition.

• Although share-based compensation is an important aspect of the compensation of the Company’s employees and executives, share-based compensation expense and its related tax impact because such charges are generally fixed at the time of grant, are then amortized over a period of several years after the grant of the share-based instrument and generally cannot be changed or influenced by management after the grant.

• Share-based compensation is not an expense that typically requires or will require cash settlement by the Company.

• Professional services fees related to our stock option restatement efforts consist of expenses incurred for consulting services and other professional fees associated with our restatement activities. Because these expenses are non-recurring and unique to the restatement, we believe they are not indicative of future operating results and that investors benefit from an understanding of our operating results without giving effect to them.

• The gain from sale of our corporate aircraft is excluded because this is a unique one-time occurrence that is not closely related to, or a function of, our ongoing operations.

• The estimated income tax effects on the above items adjust the provision for income taxes to reflect the effect of the non-GAAP adjustments on non-GAAP operating income.

These non-GAAP financial measures are not prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and may differ from the non-GAAP information used by other companies. There are significant limitations associated with the use of non-GAAP financial measures. The additional non-GAAP financial information presented here should be considered in conjunction with, and not as a substitute for or superior to, the financial information presented in accordance with GAAP (such as net income and earnings per share) and should not be considered measures of the Company’s liquidity. Furthermore, the Company in the future may exclude amortization and in-process research and development related to new business combinations from financial measures that it releases, and the Company expects to continue to incur share-based compensation expenses.

Quest Software Reports Financial Results for Q4 and Fiscal Year 2007 Page 9

QUEST SOFTWARE, INC.

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES

(In thousands, except per share data)

(Unaudited)

	Three Months Ended December 31,						Twelve Months Ended December 31,
	2007			2006			2007			2006
GAAP net income	$	24,099		$	33,341		$	61,927		$	58,985
Plus:
Amortization of intangible assets		6,599			7,201			21,804			22,690
Share-based compensation expense		3,495			6,450			17,518			27,016
Professional services fees related to our restatement		4,821			2,238			10,853			6,577
In-process research and development		220			110			220			960
Less:
Gain on sale of corporate aircraft		—			(3,987	)		—			(3,987	)
Income tax provision		(11,470	)		(5,646	)		(17,504	)		(18,291	)
Non-GAAP net income	$	27,764		$	39,707		$	94,818		$	93,950
GAAP net income per diluted share	$	0.23		$	0.32		$	0.59		$	0.57
Plus:
Amortization of intangible assets		0.06			0.07			0.21			0.22
Share-based compensation expense		0.03			0.06			0.17			0.26
Professional services fees related to our restatement		0.05			0.02			0.10			0.06
In-process research and development		0.00			0.00			0.00			0.01
Less:
Gain on sale of corporate aircraft		—			(0.04	)		—			(0.04	)
Income tax provision		(0.11	)		(0.05	)		(0.17	)		(0.18	)
Non-GAAP net income per diluted share	$	0.26		$	0.38		$	0.90		$	0.90
Weighted average diluted shares		105,924			104,615			105,284			104,103