um profit warning.
" SAN FRANCISCO, July 2 (Reuters) - Graphics chipmaker Nvidia Corp (NVDA.O: Quote, Profile, Research) on Wednesday warned revenues and gross margin would miss analysts' estimates due to weak demand, sending its shares down 25 percent.
It also cited delayed production of a new product and price cuts on some other chips due to a price war.
The company expects second-quarter revenue in a range of $875 million to $950 million, and said its gross margin would be lower than its internal expectations.
Analysts currently expect Nvidia to have a second-quarter profit of 28 cents per share on revenue of $1.01 billion, according to Reuters Estimates.
"The estimated decrease in revenue and gross margin is due to several reasons: end-market weakness around the world, the delayed ramp of a next generation MCP, and price adjustments of our GPU products to respond to competitive products," the company said in a statement.
When the company reported first-quarter results it said it had no reason to believe the current quarter would be "anything other than seasonal," Chief Financial Officer Marvin Burkett said on a conference call.
In late electronic trading, shares slid to $13.55 after closing at $18.03, down 4 percent on Nasdaq.
Separately, the company said it would take a charge of $150 million to $200 million in its second quarter to cover anticipated warranty, repair and return costs associated with a defect on some of its chips."
As acções tecnológicas amanhã vão estar pressionadas
