Informatica Drops 30% after Reporting Prelim Q2 Results

Shares of Informatica

are seeing increased weakness during Friday's trading session after the company announced yesterday that its preliminary second-quarter results would come in lower-than expected. Informatica stated it expects total revenues for the second quarter to be in the range of $188 million to $190 million. This is much lower than the consensus revenue of $217 million expected by analysts. License revenues are expected to be in the range of $70 million to $72 million and service revenues are expected to be in the range of $117 million to $119 million. Earnings per share for the second quarter, calculated in accordance with U.S. generally accepted accounting principles are expected to be in the range of $0.16 to $0.17 per diluted share. Non-GAAP earnings per share for the second quarter of 2012 are expected to be in the range of $0.27 to $0.28 per diluted share, which is lower than analysts' expectations of $0.37 per share. Non-GAAP earnings per diluted share exclude approximately $0.11 per share in charges and tax benefits related to the amortization of acquired technology and intangible assets, facilities acquisition-related adjustments and stock-based compensation. Currently, shares of Informatica are trading down about 28 percent at $30.90 per share.