Analysts were expecting a profit of 9 cents a share from DynaVox on revenue of $27.7 million for the three months ended Oct. 1. On Aug. 25, when the company reported its fourth-quarter results, DynaVox forecast net sales growth of 14% to 17% for fiscal 2011 with adjusted pro forma earnings of 56 and 62 cents a share and adjusted EBITDA [earnings before interest, taxes, depreciation and amortization] projected to grow 15%-20%.
The weakness in DynaVox's is striking given the company just went public in late April, selling upwards of 9 million shares at $15 each. The stock is now down 65% off a high of $19.20 on June 16.
"During our fiscal fourth quarter conference call, we discussed the impact on our business of the challenges facing international economies and the pressures on U.S. state and school budgets," said Ed Donnelly, the company's CEO, in a statement. "Unfortunately, the impact of these factors on our fiscal first quarter results was more than we had anticipated."
DynaVox said it plans to report its fiscal first-quarter results after the closing bell on Nov. 11.--Written by Michael Baron in New York.
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