Juniper Networks, Inc. on Thursday lowered earnings and revenue estimates for its fiscal fourth quarter.
For the period ending Dec. 31, the Sunnyvale, Calif., maker of software and hardware for IP infrastructure announced that revenue would come in at $150-155 million, down from original estimates of $200 million.
Juniper also indicated that its pro forma earnings per share would be five cents.
Analysts surveyed by Thomson Financial/First Call were anticipating 10 cents per share.
Juniper said it was revising expectations as a result of caution on the part of service providers and carriers in the weakened economy.
In a conference call held early Thursday morning, Scott Kriens, Chairman and CEO of Juniper Networks, said that after speaking with the companys customers he is convinced they remain committed to the new IP infrastructure and the new public network, hence validating Junipers competitive position.
"But the fact remains, that as they look out into the uncertainty they see in their markets, both micro and macro, they are currently in a conservation mode," said Kriens. "In other words, a classic business cycle."
In third quarter results announced in mid-October, Juniper beat analysts expectations by recording earnings of 10 cents per share (three cents above expectations) on a pro forma basis, on revenue of $201.7 million.
Juniper shares closed down $4.08 to $18.85 or 17.8 percent on Thursday.