Intel Says Fourth-Quarter Revenue Will Miss Forecast on Shortage
December 13, 2011, 10:39 AM ESTBy Cecile Daurat
Dec. 12 (Bloomberg) -- Intel Corp., the world’s largest chipmaker, said fourth-quarter revenue will miss its forecast because of shortage of hard-disk drive supply.
The company now expects revenue to be $13.7 billion, plus or minus $300 million, compared with a previous estimate of $14.7 billion, give or take $500 million, according to a statement today. Analysts predicted $14.7 billion, the average of estimates compiled by Bloomberg.
The worldwide personal-computer supply chain is reducing inventories and microprocessor purchases as a result of the drive shortage, which is expected to continue in the first quarter, Intel said in the statement. The chipmaker also cut its forecast for fourth-quarter gross margin.
Shares of the Santa Clara, California-based company fell 3.3 percent to $24.19 at 9:08 a.m. New York time before the opening of the markets, after closing at $25.01 on Dec. 9.
--Editors: Cecile Daurat, Ville Heiskanen
To contact the reporter on this story: Cecile Daurat in Wilmington at cdaurat@bloomberg.net
To contact the editor responsible for this story: Kevin Miller at kmiller@bloomberg.net
