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Super Micro Computer shares (SMCI) plunged in extended trade Tuesday after the company released preliminary quarterly results below their prior forecast.
The server manufacturer and Nvidia partner now expects revenue for the third quarter of fiscal year to be between $4.5 billion and $4.6 billion. That’s a far cry from its previous estimate of $6 billion to $5 billion. It projected adjusted earnings of 29 cents per share, down from 46 to 62 cents in the past.
In after-hours trading, shares of the struggling server maker fell by more than 15 percent. The stock was up by 18% through Tuesday’s closing.
Supermicro said that the downward revision was due to delayed consumer product decisions pushing sales into Supermicro’s fiscal fourth quarter.
Supermicro’s shares have experienced significant volatility in the past year, as fears about the company’s accounting practices and late filings led to concerns that it could be delisted by Nasdaq. The company finally met the deadline for filing its delayed reports with the exchange in February. But it still faces challenges.
