* Forecasts 1st-qtr adj profit/shr $0.30-$0.34 vs est $0.41
* 4th-qtr adj profit/shr $0.36 vs est $0.38
* Shares fall about 22 pct after the bell
(Adds details, forecast, share movement, conference call
June 12 Finisar Corp, a maker of fiber
optic components used in network communication equipment,
forecast current-quarter profit well below expectations, citing
higher capital expenditures in China.
Finisar shares fell about 22 percent in extended trading on
Chief Financial Officer Kurt Adzema said on a post-earnings
conference call that the company expected first-quarter capital
expenditures of about $40 million, driven mainly by construction
at its manufacturing site at Wuxi, China.
Finisar also reported a lower-than-expected profit for the
fourth quarter, as gross margins fell due to higher sales of
lower-margin products. The company's gross margin fell to 31.7
percent in the fourth quarter ended April 27 from 35.9 percent
on a sequential basis.
"GAAP gross margin decreased ... driven by the impact of the
full three months of the annual price reductions for telecom
products ... as well as the impact of the u2t Photonics AG
acquisition whose products carry a lower than corporate average
gross margin," the company said.
The company also said it expected to keep selling more
lower-margin products in the first quarter.
Finisar forecast an adjusted profit of 30-34 cents per share
for the quarter ending July. Analysts on average were expecting
a profit of 41 cents per share, according to Thomson Reuters
Net income attributable to Finisar rose to $28.4 million, or
27 cents per share, from $3.9 million, or 4 cents per share, a
Excluding one-time items, the company posted a profit of 36
cents per share.
Revenue rose 26 percent to $306.0 million.
Analysts on average expected a profit of 38 cents per share
on revenue of $303.2 million.
Finisar shares closed at $25.25 on the Nasdaq on Thursday.
(Reporting by Sampad Patnaik and Soham Chatterjee in Bangalore;
Editing by Savio D'Souza and Simon Jennings)