Synnex lowers Q1 estimates


2 March 2005 – Fremont (CA): Synnex has updated its revenue and earnings outlook for the Q1 of 2005, which is expected to fall below Wall Street expectations due to increased competition and slow demand.

The company is forecasting a quarterly EPS of $0.31 to $0.33 on total revenue of $1.34 billion to $1.35 billion, it said.

Analysts were expecting Synnex to post an EPS of $0.38 for the quarter on sales of $1.42 billion.

President/CEO Robert Huang said: "We did see increasing competitiveness in the IT channel in the later stages of Q1, along with a mild reduction in demand versus our expectations. These factors affected our ability to achieve our distribution sales goals for the quarter."