Cray

(CRAY) - Get Report

, the supercomputer maker whose shares are down 86% over the last two and a half years, will carry out a 1-for-4 reverse split of its common stock before the bell Thursday.

Shareholders approved the split at a meeting on Tuesday.

Cray also said it expects 2006 revenue to rise 5% to 15% over 2005's $201.1 million, consistent with a previous forecast. The company said a "wider range of potential results is reasonably possible" depending on the level and timing of large orders. Cray expects to lose money in the second and third quarters.

"The company expects that the second half of 2006 will be stronger than the first half, with the potential for 60% of product revenue being recognized in the fourth quarter," Cray said.

A single analyst's estimate compiled by First Call put Cray's loss in both the second and third quarters at 11 cents a share. Two analysts produced a mean full-year loss estimate of 20 cents a share on sales of $220 million.