It expects to record a net loss before exceptional items of $0.03 a share on revenue of $126 million for the third quarter, while analysts polled by Reuters forecast that it would post a profit of $0.05 on revenue of $135 million.
For the fourth quarter, Adaptec forecasts net earnings before exceptional items in the range of $0.00 to $0.01 on revenue in the range of $127 million to $131 million, while analysts were expecting earnings of $0.08 on revenue of $148.5 million.
Adaptec said lower channel revenue coupled with a higher proportion of OEM revenue and greater start-up costs on new products are expected to reduce margins below original expectations. The company’s shares fell 11.46% to $5.72 following the announcement.
