Corel Misses Estimates

Corel(CORL Quote) posted sharply wider-than-expected fourth-quarter losses, but maintained that it expects to be profitable by the third quarter of this year amid stronger sales of its graphics software.

Nevertheless, Corel's shares slipped in morning trading on the Nasdaq, recently dwindling 15 cents, or 5.3%, to $2.81.

The Canadian software developer said fourth-quarter losses were $8.6 million, or 12 cents a share, compared with earnings of $4.6 million, or 8 cents a share, in the same period last year. Two analysts polled by First Call/Thomson Financial expected a loss of a penny a share for the quarter.

Revenue for the fourth quarter was $40.4 million, down from $60.9 million a year ago.