Power-One, Inc. (PWER)

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Power-One Inc Lowers Q4 2012 Revenue Guidance; Issues Q4 2012 Net Loss Guidance Below Analysts' Estimates

Thursday, 17 Jan 2013 07:00am EST

Power-One Inc updated outlook for fourth quarter of 2012 and expects to report revenue of $190 million to $195 million, which is below the previously estimated range of $210 million to $230 million. Softer than expected market conditions in the Renewable Energy business, primarily in Italy and Germany, driven by reduced feed-in tariffs and a difficult financing environment, led to lower sales in the quarter. As a result, the Company expects to report a net loss of $12 million to $15 million for the fourth quarter due to lower than expected gross margins resulting from the revenue shortfall and new product ramp-up costs. Included in the expected results is a loss, net of tax, of approximately $6 million on foreign currency remeasurement due to the strengthening of the Euro versus the dollar late in the fourth quarter. According to I/B/E/S Estimates, analysts are expecting the Company to report revenue of $221 million and net income of $11 million for the fourth quarter of 2012.

http://www.reuters.com/finance/stocks/PWER.O/key-developments/article/2675829