Brocade 2010 revenue outlook to beat Street view

Brocade 2010 revenue outlook to beat Street view, but earnings to fall short

• On 5:53 pm EDT, Tuesday September 22, 2009

PHILADELPHIA (AP) -- Brocade Communications Systems Inc. on Tuesday forecast fiscal 2010 revenue that would exceed analysts' expectations due to an improving economy.

The maker of networking equipment expects to post revenue of $2.25 billion to $2.45 billion next year, compared with the $2.21 billion forecast by analysts surveyed by Thomson Reuters.

But earnings are expected to fall short of expectations: 56 to 61 cents per share compared with the 63 cents analysts were projecting.

At a meeting with analysts in Boston, Brocade also narrowed its forecast for 2009. It now expects to post revenue of $1.94 billion to $1.96 billion compared with a prior range of $1.9 billion to $2 billion. Analysts were expecting $1.95 billion.

Profit for 2009 is anticipated at 49 cents to 52 cents per share, from the prior outlook of 48 cents to 52 cents. Analysts were expecting earnings of 51 cents per share.

Shares of San Jose, Calif.-based Brocade were up 25 cents to $8.37 on Tuesday.