Israeli company Radcom (Nasdaq: RDCM) became the latest technology firm on Wednesday to warn of an earnings disappointment.
After market close Wednesday, the Israel-based maker of test and analysis devices for communications equipment said it expects to report second quarter losses ranging between 8 cents and 10 cents per share, on revenue of about $6.6 million. First Call's survey of two analysts predicted a loss of a penny per share.
Shares of Radcom fell 3/8 to 6 1/16 in Wednesday regular trading ahead of the quarterly preannouncement.
The company blamed the shortfall on a delay in closing two large contracts, worth more than $1.5 million combined. Radcom expects to record that revenue in the third and fourth quarters instead.
"We experienced longer sales cycles than expected in two orders due to their exceptional size," said Arnon Toussia-Cohen, president and CEO.
Radcom still expects to meet its target for the full year, Toussia-Cohen said. First Call currently predicts a 2000 profit of a penny per share.
During the second quarter, Radcom landed three more design partners for its Omni-Q quality control system for voice-over-IP. With four design partners total, Omni-Q is outpacing expectations, Toussia-Cohen said.
Full second quarter results will be released July 18, the company said.>