Nassda revises estimates downwards

A Nassda Corp product story

Edited by the Electronicstalk editorial team Apr 4, 2003

Nassda Corp is revising its revenue and earnings expectations for its second fiscal quarter ended 31st March 2003.

Nassda Corp is revising its revenue and earnings expectations for its second fiscal quarter ended 31st March 2003.

Nassda now estimates revenue of approximately $8.8 million and net income of $0.04 per fully diluted share.

These revised estimates are below its previously stated expectations of revenue of $11.2 million to $11.6 million and fully diluted earnings per share of approximately $0.07.

The shortfalls were primarily due to the prolonged economic slowdown, customers' further reducing or delaying their capital budget spending, postponing purchases, particularly by the major accounts, and increase in competitive pricing pressure.

These factors together have contributed to both the substantial lengthening of the sales cycle and unexpected decrease in orders.

For the third quarter of fiscal 2003, Nassda expects revenue of approximately $7.0 million and net income of approximately $0.00 per fully diluted share.

For the fiscal year 2003, Nassda now expects revenue of approximately $33.9 million to $34.1 million and net income of $0.11-0.12 per fully diluted share as compared to the earlier estimates of $45 million to $47 million in revenue and net income of $0.31 to $0.33 per fully diluted share.