Software maker Adobe Systems yesterday said it expects to report lower revenue than previously anticipated as a result of poor sales in July.
For its third quarter of fiscal year 2002, which concludes on August 30, Adobe expects to report revenue between US$270 million and $290 million, according to a statement. That new figure is down from a previous revenue target of between $300 million and $320 million. Analysts polled by research company Thomson Financial/First call had expected the company to report revenue of $309.78 million.
In addition, its pro-forma earnings per share estimate was reduced to a range of $0.18 to $0.23, down from $0.24 to $0.27. Analysts on average had expected the company to report earnings per share of $0.25, according to Thomson Financial/First Call.
The maker of graphics and imaging software such as Photoshop, Illustrator and Acrobat said in its statement that sales during July failed to meet expectations due to an especially weak market in Europe and Japan.
Investors pummelled Adobe's stock in after-hours trading. Shares of Adobe (Nasdaq: ADBE) sank $4.82, or 20.12 per cent, to $19.14 on The Island ECN Inc. trading network at about 6:30pm. ET.
Adobe is scheduled to report its third-quarter financial results September 12.