Entrust Technologies Inc. (Nasdaq: ENTU) warned investors not to trust estimates for its second quarter Wednesday. The company said it now sees earnings from operations to be 2 cents a share, below First Call Corp.'s current consensus estimate of 8 cents a share.
Shares in the security software maker crashed 49 percent, or 37 7/16 to 39 11/16. The stock got a boost earlier in the year from hack attacks which renewed interest in security companies.
Entrust's competitors include Symantec (Nasdaq: SYMC) and RSA Security (Nasdaq: RSAS), according to Hoover's Online.
The company said second-quarter results were affected by delays in closing PKI system extension sales, and the problem is one of revenue timing, not lost business.
Entrust also said it is optimistic on prospects for the remainder of 2000 and beyond. The company closed a merger with enCommerce in June, to improve its services in the B2B and B2C sector.
Entrust said that revenue for the quarter, which ended June 30, will be up substantially from $19.8 million in revenue recorded in the second quarter of 1999. Revenue will be up slightly from first quarter sales of $29.1 million.
The company expects to report full financial results for the second quarter after the close of market on Tuesday, July 18th.