Internap Sees Q3 Revenue Below Consensus; Cuts FY15 Outlook

(RTTNews) - Internap Corp. (INAP) said Thursday that it expects third quarter revenue to be $77.5 million to $79 million.

For the full year 2015, the Atlanta, Georgia-based IT infrastructure services provider now expects revenue of $320 million to $325 million, compared to its prior guidance of $331 million to $337 million.

Analysts polled by Thomson Reuters currently expect the company to post revenue of $83.92 million for the third quarter and $331.78 million for the full year 2015.

Michael Ruffolo, President and Chief Executive Officer of Internap, said, "While we have built a strong sales funnel for MIRO Controller, revenue contribution for 2015 will likely be lower than previously anticipated as orders are pushed into 2016 due to customer budget cycles. We remain on a path towards the generation of sustainable positive free cash flow, as early as the fourth quarter of 2015, driven by stable bookings despite headwinds from the strengthening US dollar."

Internap will release third quarter financial results after market close on November 5.

Internap shares are currently losing 11.56% in after hours trading after closing Thursday's regular trading session at $8.39, down 11 cents or 1.29%.