Sonus Networks Cuts Q1 Guidance; Initiates Company-wide Review Of Cost Structure

(RTTNews) - Sonus Networks, Inc. (SONS) announced that, for the first quarter ending March 27, 2015, the company now expects its revenue to be in the range of $47 million to $50 million compared to previous guidance of $74 million. First quarter non-GAAP loss per share is expected to be in the range of $0.29 to $0.34 compared to previous guidance of non-GAAP earnings per share of $0.03. GAAP loss per share is currently expected to be in the range of $0.45 to $0.50.

The company currently anticipates that revenue for the full year will be up to 25% below the midpoint of its previous annual guidance of $326 million to $330 million.

Sonus also announced that it has initiated a company-wide review of its cost structure. The company no longer expects to receive certain orders in the current quarter that had been expected to be received at the back end of the first quarter, and believes its planned cost reduction initiatives will help better align the cost structure in light of these longer decision cycles.