Wind River Systems
swung to a loss in the first quarter ended April 30.
The Alameda, Calif.-based company posted a loss of $2.1 million, or 2 cents a share, in the quarter, compared with a profit of $1.8 million, or 2 cents a share, a year ago. Adjusted for items, the company earned 3 cents a share in the most recent quarter. Analysts polled by Thomson First Call were expecting earnings of 4 cents a share.
First-quarter revenue rose 5.2% to $65 million. Analysts were expecting revenue of $66.4 million in the most recent quarter.
The company expects a loss of 1 cent a share to 2 cents a share on revenue of $66 million to $68 million in the second quarter and earnings of 12 cents a share to 17 cents a share on revenue of $290 million to $300 million in the year. Adjusted for stock options expense and other items, Wind River expects earnings of 4 cents a share to 5 cents a share in the second quarter and 38 cents a share to 43 cents a share in the year. Analysts are expecting the company to earn 10 cents a share on revenue of $72.8 million in the second quarter and 40 cents a share on revenue of $295.5 million in the year.
The company swung to an operating loss of $3.9 million in the quarter, compared with an operating profit of $1.7 million, a year ago.
"Our operating expenses were up slightly in the quarter primarily reflecting investments in marketing and sales. We remain committed to delivering 20% operating margins excluding SFAS 123R's expense impact, when we reach quarterly revenues in the high $70 millions. We will continue to manage expenses, including carefully controlling headcount, while investing in areas where we see strong growth opportunities," the company said.
The company's shares were trading at $8.22, down $1.05, or 11.3% in after trading hours on Thursday.
This story was created through a joint venture between TheStreet.com and IRIS.