Soft telecom market prompts Juniper to revise Q4 down

Juniper Networks (Nasdaq: JNPR) is blaming weak demand from telecom service providers for lower fourth quarter profit and revenue. The company yesterday released preliminary quarterly data that showed it's missing forecasts for sales and profits.

Juniper said revenues would be $1.1 billion to $1.2 billion, shy of the $1.16 billion to $1.22 billion it has forecast. EPS was forecast earlier at 32-36 cents, but now is expected to come in at 26-28 cents for the quarter,

Bloomberg said Verizon Wireless' intention to reduce capex on older wireless technology was likely one of the culprits, although Juniper didn't specify which service providers impacted its bottom line.

Juniper competes with companies like Cisco (Nasdaq: CSCO), Adtran (Nasdaq: ADTN) and Extreme Networks (Nasdaq: EXTR) in the network infrastructure business. Adtran last month saw its rating cut by Goldman Sachs.

Juniper will provide full results Jan. 26.

For more:
- see this Bloomberg article

Related articles:
Akamai agrees to purchase Cotendo for $268M
Cisco takes back IP edge router market share lead in Q3
Juniper Q4 outlook uncertain
Rumor Mill: AT&T, Juniper, Akamai hunting to buy CDN Cotendo
Juniper offers new portfolio to leverage BYOD trend

Suggested Articles

Discovery, Inc. is in the early planning phases of launching a streaming video service that aggregates IP from all its brands.

Viamedia, a local video and digital advertising platform, said that its ongoing antitrust lawsuit against Comcast appears to be heading to trial.

Altice USA has struck a deal with Apple that will allow its video subscribers to buy an Apple TV 4K device from the provider and access Altice One.