Cambium Networks Corp (NASDAQ:CMBM) shares are trading lower by 36.5% to $5.03 during Thursday’s pre-market session after the company announced it expects preliminary third-quarter revenues of between $40-$45 million compared to the previous outlook of $62-$70 million.
Cambium Networks says the cut in outlook is due to delayed government orders, slow growth in certain sectors, reduced orders and economic challenges in EMEA. The company’s full-year 2023 guidance is suspended.
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While reported revenues are down, point-of-sale revenues are up, suggesting reduced channel inventories. Net income and earnings per share for third-quarter 2023 are expected to be lower than previous estimates.
Cambium Networks also says the company has about $27 million in cash and a $45 million unused credit line.
According to data from Benzinga Pro, CMBM has a 52-week high of $24.19 and a 52-week low of $6.93.
