Imperva Cuts Q1 Outlook On Order Delays; Stock Plummets 34% - Update

(RTTNews) - Imperva Inc. (IMPV) Wednesday slashed its revenue outlook for the first quarter and anticipates adjusted loss to be wider than earlier expected, due mainly to delayed orders from customers in the U.S.

Following the announcement, Imperva stock tumbled 34 percent in after-hours trade on the New York Stock Exchange.

Imperva develops data center security solutions that protect high value applications and data assets in physical and virtual data centers.

The Redwood Shores, California-based company now expects first-quarter revenue of $31 million to $31.5 million, down from its prior guidance of $36 million to $37 million.

Eleven analysts polled by Thomson Reuters currently expect revenue of $36.7 million for the quarter.

Results were hurt mainly by extended sales cycles on deals over $100,000, which led to delays in expected orders from customers, said CEO Shlomo Kramer.

Kramer said the extended sales cycles were due to competition for large orders as well as sales execution challenges in the U.S.

Imperva now expects to report first-quarter adjusted loss of $0.44 to $0.40 per share, down from prior guidance of $0.37 to $0.33 per share.

Twelve analysts currently expect a loss of $0.35 per share for the quarter. Analysts' estimates typically exclude one-time items.

Imperva is scheduled to report its full first-quarter results on May 1.

Imperva stock closed Wednesday at $49.73, up $0.42 or 0.85%, on a volume of 879k shares on the NYSE. In after hours, the stock dropped $16.94 or 34.06%, to trade at $32.79.