Juniper Warns
TSC Staff
06/08/01 - 08:45 AM EDT
Updated from 7:56 a.m. EDT Networking-equipment maker
Juniper Networks(JNPR Quote) this morning warned that its second-quarter revenue would come in significantly lower than expected, around $200 million to $210 million instead of its previous guidance of $300 million to $330 million.
The company said it now expects pro forma earnings of 8 cents a share for the quarter. The current earnings estimate among analysts polled by earnings tracker
Thomson Financial/First Call is 24 cents.
Juniper was down 11.4% to $41.30 in preopen trading on electronic brokerage Instinet.
Juniper said it is cutting its staff by about 8% and taking a one-time charge of $45 million. The charge in part includes costs for reevaluating its investment portfolio. "Our revised expectations are a result of a challenging service provider and global carrier business environment," Juniper said.
A recent story from
TheStreet.com predicted Juniper was
one of the more likely networking preannouncers. Juniper had recently repeated to investors what it had outlined during its
April earnings call, that there was a 10% risk the company wouldn't match its first-quarter sales performance.
