NEW YORK (
) -- Shares of
fell in late trades on Monday after the maker of video equipment lowered its revenue and gross margin outlook for the first quarter.
San Jose, Calif.-based Harmonic cited slow order activity in the early part of the quarter and a decline in demand from its European customers. The company said it now sees revenue of $125 million to $128 million and non-GAAP gross margin of 46-48%. Its previous projection was for revenue of $132 million to $142 million in the period and gross margin ranging from 50-52%.
Harmonic sees non-GAAP earnings at 2 to 3 cents a share for the three-month period ending in March. The current average estimate of analysts polled by
is for a profit of 9 cents a share in the quarter on revenue of $136.6 million.
The stock was last quoted at $4.70, down 5.2%, on volume of more than 75,000, according to
. Based on Monday's regular-session close at $4.96, the shares were up a little less than 2% in 2012.
"The combination of lower digital video processing sales in Europe and increased cable edge sales impacted our gross margins in the first quarter," said Patrick Harshman, the company's president and CEO, in a statement. "Looking ahead, our bookings growth and expanding footprint lead us to expect sequential growth in the second quarter and, more generally, point to the fundamental strength of our business."
Harmonic said total bookings rose 8% in the first quarter to $142.5 million, and that it still expects non-GAAP operating expenses in the range of $56 million to $57 million, in line with its prior guidance. The company plans to release its full quarterly results on April 24.
dropped more than 7% to $21.31 on volume of nearly 300,000 after the company said the review date of its new drug application for Qnexa has been extended by three months.
The company said it's been informed that the Food and Drug Administration has moved the Prescription Drug User Fee Act date for its review of Qnexa's NDA to July 17 from April 17.
VIVUS is seeking approval of Qnexa for the treatment of obesity. "The Qnexa REMS submission is comprehensive, with materials based on ongoing feedback from the FDA since our advisory committee meeting in February," said Leland Wilson, the company's CEO, in a statement. "We look forward to finalizing our REMS with the FDA while we move forward with our commercialization plans."
dipped in the extended session following news the Allentown, Pa.-based power company plans to sell 9.9 million common shares in an underwritten public offering.
The deal, which includes an overallotment option for the sale of an additional 1.485 million shares, is expected to close by the end of this week, and PPL plans to use the proceeds to pay down short-term debt and for general corporate purposes.
The stock was last quoted at $27.39, down 1%, on volume of more than 165,000, according to
Written by Michael Baron in New York.
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