Western Digital Shares Fell 6% in Premarket Trading
Shares of Western Digital Corp. declined 6% in premarket trading on Tuesday after the company swung to a second-quarter loss and provided a third-quarter outlook below Street views.
The developer of data storage devices and solutions swung to a loss of $446 million, or $1.40 per share, compared with a profit of $564 million, or $1.79 per share, a year ago. Adjusted losses came to 42 cents per share. Analysts polled by FactSet were expecting adjusted losses of 15 cents per share.
Revenue fell to $3.11 billion from $4.83 billion the year prior. Analysts were looking for $2.98 billion.
Chief Executive David Goeckeler said the company faced a "challenging flash price environment and continued cloud inventory digestion" in the period.
For the third quarter, the company guided for revenue between $2.60 billion to $2.80 billion. Analysts expected $2.96 billion.
Western Digital also guided for adjusted per-share loss of between $1.70 to $1.40. Analysts expected an adjusted loss of 37 cents.
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