Business analytics software maker Qlik Technologies QLIK.O forecast second-quarter sales that fell short of market estimates, as weak economic conditions in Europe delayed closing of contracts.
Qlik joins Informatica Corp INFA.O in forecasting a weak quarter, indicating that the European crisis is having a bigger- than-anticipated impact on tech spending.
On Friday, Informatica shares dived 30 percent following its lower-than-expected second-quarter results. Qlik shares closed down 12 percent.
"Second-quarter results were impacted by challenging macroeconomic conditions, especially in Europe, which affected deal closure late in the quarter, as well as weakening European currencies," Qlik Chief Executive Lars Björk said.
Jefferies and Co, which downgraded the stock a notch to "hold" last week, said its channel work reflected a deterioration in business conditions and increasing competitive pressures.
The company also expects a strong dollar and European currencies to lower second-quarter revenue by about 8 percent.
Qlik expects per-share earnings of 1 cent to 2 cents, excluding one-time items, on revenue of $84 million to $86 million for the quarter.
Analysts on average were expecting earnings of 2 cents per share on revenue of $93.6 million, according to Thomson Reuters I/B/E/S.
Shares of the Radnor, Pennsylvania-based company were up 3 cents at $18 in light trading before the bell on Monday on the Nasdaq.
(Reporting by Shubham Singhal and Supantha Mukherjee in Bangalore; Editing by Sreejiraj Eluvangal and Saumyadeb Chakrabarty)