Juniper to miss Q4 2011 estimates
Networking company cites weak service provider demand for routers
Juniper Networks has warned that it will not meet its previous Q4 2011 earnings estimates, citing weaker than expected router demand from service providers.
The company now expects to see revenue of $1.11bn to $1.12bn for the final quarter, down from predictions of $1.16bn to $1.22bn made in October.
EPS will be in the range of $0.26 to $0.28 per diluted share, while non-GAAP operating margin is expected to miss previous estimates of 21-23%,
The poor results were due to weaker demand across all business, Juniper said, although there was a pronounced lack of demand from US service providers.
"2011 was a record year of revenue for Juniper, even though our fourth quarter revenue was weaker than expected due to service provider demand," said Kevin Johnson, chief executive officer of Juniper Networks. "We remain committed to our strategy of innovation in high-performance networking as we continue to manage costs and drive excellence in execution."
Final results for the quarter are expected on 26th January.