Gigamon (GIMO) expects Q1 revenue of $31M-$31.5M, below prior guidance of $34M-$35M and a $34.8M consensus. The networking visibility/monitoring hardware maker blames its failure to close a major deal with an EMEA customer, and the slippage of other deals into Q2.
Gigamon expects to record a $2.3M excess inventory charge related to the EMEA deal that failed to close. Thanks to the charge, gross margin is expected to be in a range of 71%-72%, below prior guidance of 78%-79%.
Shares have made new post-IPO lows. Q1 results arrive on April 24.