NETGEAR Shares Down 11% on Lowered Q1 Guidance
2022.04.19 00:42
NETGEAR (NTGR) Shares Down 11% on Lowered Q1 Guidance
NETGEAR, Inc. (NTGR) shares dropped more than 11% after-hours following the company’s reported preliminary financial results Q1 (full results will be released on April 27, 2022). The company lowered its Q1 revenue estimate to $202-$212 million from the prior $225-$240 million. The Street estimate currently stands at $251.2 million.
The company’s CHP business performance was negatively impacted by the decline in the U.S. consumer WiFi market in Q1.
While SMB revenue performance met expectations, COVID-induced lockdowns in Shenzhen caused supply severe disruptions in the supply of components to the company’s factories in March, resulting in a meaningful lost opportunity to deliver higher SMB revenue.
By Davit Kirakosyan
