{"id":10413,"date":"2012-04-20T07:37:00","date_gmt":"2012-04-20T05:37:00","guid":{"rendered":"http:\/\/businesstech.co.za\/news\/?p=10413"},"modified":"2012-04-20T13:18:58","modified_gmt":"2012-04-20T11:18:58","slug":"sandisk-warns-of-lower-than-expected-results","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/hardware\/10413\/sandisk-warns-of-lower-than-expected-results\/","title":{"rendered":"SanDisk warns of lower than expected results"},"content":{"rendered":"<p><a title=\"SanDisk Corp\" href=\"http:\/\/mybroadband.co.za\/vb\/showthread.php\/423162-SanDisk\">SanDisk Corp<\/a> said the glut in the memory chips market will continue to hurt prices for the rest of the year, sounding its second revenue warning in as many quarters.<\/p>\n<p>The company, which has struggled to rein in the downward spiral in prices for NAND flash chips &#8212; used as primary memory in phones and tablets &#8212; projected second-quarter revenue of $950 million to $1.05 billion, well below the Street&#8217;s $1.30 billion expectations.<\/p>\n<p>&#8220;We expect the steeper price decline in the first half of 2012 to result in considerably lower price levels for the whole year, reflecting a weaker industry supply-demand balance than we had previously anticipated,&#8221; the company said on a call with analysts.<\/p>\n<p>For the first-quarter, profit nearly halved, while gross margins declined to 36 percent. It expects gross margins to fall further to 26-30 percent in the current quarter.<\/p>\n<p>The company earned $114 million, or 46 cents per share, down from $224 million, or 92 cents per share, last year.<\/p>\n<p>Excluding items, it earned 63 cents per share, while analysts were looking for 70 cents per share, according to Thomson Reuters I\/B\/E\/S.<\/p>\n<p>Revenue fell over 7 percent to $1.21 billion, in-line with lowered Street expectations. The company had pre-announced earnings early this month, warning of revenue and gross margin erosion during the quarter.<\/p>\n<p>SanDisk shares fell 9 percent to $36.90 in extended trading. They had closed at $40.47 on Thursday on the <a title=\"Nasdaq\" href=\"http:\/\/businesstech.co.za\/forum\/showthread.php\/1875-Nasdaq\">Nasdaq<\/a>.<\/p>\n<p><strong>Related article<\/strong><\/p>\n<p><a title=\"BusinessTech Article\" href=\"http:\/\/businesstech.co.za\/news\/hardware\/4653\/sandisk-warns-of-tough-first-half-of-2012\/\"><strong>SanDisk warns of tough first half of 2012<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>SanDisk Corp said the glut in the memory chips market will continue to hurt prices for the rest of the year, sounding its second revenue warning in as many quarters.<\/p>\n","protected":false},"author":7,"featured_media":10418,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[22],"tags":[25,1003,229,1109],"class_list":["post-10413","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-hardware","tag-active","tag-memory","tag-results","tag-sandisk"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/10413","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=10413"}],"version-history":[{"count":5,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/10413\/revisions"}],"predecessor-version":[{"id":10430,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/10413\/revisions\/10430"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/10418"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=10413"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=10413"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=10413"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}