Inktomi cuts 20 percent of work force
The former technology highflier says it will cut 85 positions by the end of the year. Revenue for the fourth quarter is expected to fall in line.
The Foster City, Calif.-based company will eliminate 85 positions by the end of the year, leaving it with 300 employees. Last year, the company trimmed its staff by 18 percent.
"Current economic conditions in enterprise software mandate that Inktomi further adjust its cost structure to move towards cash flow breakeven performance," David Peterschmidt, president and chief executive, said in a statement.
"Inktomi's focus remains steady on providing search solutions for the Web and enterprise markets as we continue to see long-term growth potential for our products."
On Oct. 24, the company plans to report fourth-quarter revenue of about $20 million, in line with analysts' expectations. Inktomi expects a pro forma loss of 5 cents to 7 cents a share.
Inktomi's shares traded at 31 cents at the close of regular trading Tuesday. In after-hours trading, shares fell to 24 cents. At their peak, Inktomi shares were worth more than $200 per share.