Cognex Sags as Earnings Plummet

Author:
Publish date:

Cognex (CGNX) - Get Report, which makes hardware and software for semiconductor and electronics companies, was down 12% in midmorning, a day after it posted a drop in income.

Cognex said third-quarter earnings were 5 cents per share, down from 42 cents a share a year ago. Excluding amortization of goodwill, EPS was 6 cents vs. 43 cents a year earlier. Analysts expected earnings of 4 cents per share, according to Thomson Financial/First Call.

The company cited an ongoing slowdown in capital spending by manufacturers, and Cognex said it expects the slump to continue. Cognex said revenue for the fourth quarter would be down sequentially by about 25 percent and it expects to report a loss for the period of 1 to 3 cents per share, excluding acquisition-related charges.