Airspan Networks Inc., which makes communications network equipment, plunged in after-session trading Wednesday after it released a first-quarter outlook below analyst expectations.
The company said it expected sales of $20 million to $21 million in the first quarter, while analysts polled by Thomson Financial expect sales of $25.5 million, on average.
Shares rose 1 cent to close at $1.45. They plunged 17 percent to $1.20 in after-session trading following the release of the first-quarter outlook.
Chief Executive Eric Stonestrom said telecom equipment companies typically experience a weak first quarter compared with the fourth quarter.
He also said that the company was investing in new mobile network services that require research investment and will not contribute significantly to sales in the first half of the year.
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