NEW YORK (AP) -- Shares of Ultra Clean Holdings Inc. lost more than 20 percent before the opening bell after the semiconductor equipment maker cut its revenue outlook for the current quarter.
The Hayward, Calif., company, which makes machines used by semiconductor companies to produce chips, said a decline in demand it reported last month is worse than it anticipated. It's also lost business from a major customer.
At that time, when it reported second-quarter results, the company predicted third-quarter earnings per share of 10 to 14 cents on revenue of $107 million to $112 million.
It now expects to report third-quarter revenue of between $96 million and $101 million. It didn't provide a new earnings per share forecast.
Analysts polled by FactSet currently expect a profit of 17 cents per share on revenue of $101.9 million.
Ultra Clean said it expects demand to level off in the last three months of the year. But the news of a large customer starting to produce their own equipment could hurt revenue down the road, it said. It expects the loss of business could drag down quarterly revenue by 7 to 9 percent by the end of next year.
The stock lost $1.36, or 20.3 percent, to hit $5.34 on Tuesday. Shares closed at $6.70 on Monday and have traded between $3.77 and $9.35 in the past year.