, a direct marketer of computer products, slashed its sales and earnings guidance for the first quarter, citing a "softness in demand" in the sector.
The company now expects revenue to be in the range of $320 million to $325 million, down from the previous range of $335 million to $350 million. Also, it expects to earn 3 cents to 5 cents a share, down from 9 cents to 12 cents a share. That would mark an unexpected decline in earnings compared to the same quarter last year, when it earned 7 cents a share.
Wall Street was expecting earnings of 11 cents a share for the quarter, according to consensus estimates reported by Thomson First Call.
PC Connection said, "the increase in business activity we generally see in the latter part of the quarter in our small business and public sector segments was less than we have historically experienced. However, our large business segment has performed in line with our expectations."
Its stock was recently down 51 cents, or 7.9%, to $5.95.