i2 Technologies Lowers Revenue Guidance

i2 Technologies

(ITWO)

said in a press release that it expects to report a first-quarter pro forma operating loss that is in line with analyst estimates on lower revenue.

The company, specializing in supply chain management technology, expects a loss of about 7 cents to 8 cents a share, compared with pro forma net income of $7.48 million, or 2 cents a share, in the year-ago quarter. Under generally accepted accounting principles, the company's loss is expected to be 8 cents to 9 cents a share.

Total revenue for the quarter is expected to be $165 million to $170 million, down from $356.6 million last year.

According to Thomson Financial/First Call, analysts had been expecting a loss of 8 cents a share on revenue of $186.6 million.

The company said market conditions continued to be weak throughout the quarter, but it expects to "grow future revenues as the market improves."

Shares of i2 reacted negatively to the news, falling 4% to $4.62 in Instinet premarket trading after closing at $4.81 Tuesday.