Audience -10.8% AH on weak guidance; cost cuts planned

Audience (NASDAQ:ADNC) expects Q3 revenue of $25M-$28M and EPS of -$0.37 to -$0.43, far below a consensus of $41.3M and -$0.05. The voice processor vendor blames "near-term expected softness with certain high-end smartphones."

That's most likely a reference to Samsung, which accounted for 74% of Audience's Q1 sales and uses one of its voice processors in the Galaxy S5 (among other devices). Samsung is fresh off reporting a 21% Y/Y drop in mobile sales amid share losses to a slew of Chinese OEMs.

Due to the sales weakness, Audience plans "expense reductions in excess of 15% of current run rate during Q3." No word on how many positions will be affected.

Q2 results, PR

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