By Ron Coates, 13 February 2001 12:45
NEWS The company issued a profits warning saying that some customers had delayed orders for its high-speed equipment for storage area networks and that if the trend continued it would not meet forecasts. The shares, which started yesterday at $81.75, continued to crash during the day until they hit $40.38 last night on Nasdaq. They started last week at $92. Emulex said that if additional customers delayed orders its third quarter earnings would be three to five cents lower than the 25 cents it had forecast, and that revenue would be flat at around $69m. In the middle of last month, when it announced that quarterly turnover was 112 per cent up on the comparable period of the previous year at $71.1m and that profits had boomed from $8.8m to $19.4m, the company predicted $80m turnover. Last year Emulex made the Wall Street Journal Honour Roll as the fourth best performing stock over the previous ten years.
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