SanDisk Cuts Q1, 2015 Revenue Outlook - Quick Facts

(RTTNews) - Flash memory card maker SanDisk Corp. (SNDK) said that it cut its first quarter revenue estimate, citing certain product qualification delays, lower than expected sales of enterprise products and lower pricing in some areas of the business. It also forecasts 2015 revenue to be lower than the previous guidance.

It expects its revenue for the first fiscal quarter, which will end on March 29, 2015, to be approximately $1.3 billion, depending on final sell-through results, compared to the previously forecasted revenue range of $1.40 billion to $1.45 billion. Analysts polled by Thomson Reuters expect the company to report revenues of $1.44 billion for the first-quarter. Analysts' estimates typically exclude special items.

The company expects continued impact to its 2015 financial results from these factors as well as the previously identified supply challenges, and now forecasts 2015 revenue to be lower than the previous guidance.

The company noted that other forecasts for the quarter and the year are withdrawn.

"We are disappointed with our financial outlook. we will work through these headwinds, leveraging our compelling product roadmap and broadening customer base. We believe our growth prospects remain strong and we are encouraged by the progress we are making in our 3D NAND technology," said Sanjay Mehrotra, president and chief executive officer, SanDisk.

The company noted that it will provide an update during its first quarter earnings call on April 15, 2015. It will also reschedule its previously announced May 2015 Investor Day to a later date.