Citrix shares fall after hours on weak forecast
Citrix reports weak 1Q and issues disappointing earnings forecast, shares sink after hours
SANTA CLARA, Calif. (AP) -- Cloud computing company Citrix Systems Inc. reported disappointing fiscal first-quarter results Wednesday and issued a weak earnings forecast. Its shares fell 12 percent in after-hours trading.
The Santa Clara, Calif., company earned $60 million, or 32 cents per share, for the quarter that ended March 31. That is compared to $68 million, or 36 cents per share, for the first quarter of 2012. After adjusting for a $9 million tax benefit and other special items, the company earned 62 cents per share versus 59 cents per share in the prior year.
Citrix said its revenue increased 14 percent to $673 million from $589.5 million.
Analysts polled by FactSet, on average, were expecting the company to earn 63 cents per share on revenue of $677 million.
Citrix CEO Mark Templeton said macro-economic factors have crimped customers' spending on information technology, but that the company performed well given those pressures. He said demand for cloud computing remains high and Citrix will remain focused on its long-term growth strategy.
The company expects to earn between 62 to 63 cents per share for its second quarter on an adjusted basis with revenue between $705 million and $715 million. Analysts had forecast earnings of 70 cents per share on revenue of $711.8 million.
Citrix forecast earnings between $3.08 and $3.11 per share for the year on an adjusted basis and revenue between $2.95 billion to $2.98 billion. Analysts were anticipating earnings of $3.13 per share on revenue of $2.97 billion.
The company's stock fell $7.86 to $59.80 after hours. It closed regular trading down 16 cents at $67.66.
