What happened

Three months ago, shares of telecommunications infrastructure builder Dycom Industries (NYSE:DY) took a dive after the company's quarterly report disappointed investors. Three months later, Dycom stock is self-destructing before earnings have even come out.

Dycom had previously guided investors to expect it would earn between $1.02 and $1.17 per share on sales of $830 million to $860 million in Q2. This morning, management released an earnings warning confirming that profits will probably range from $1.05 to $1.08 per share on sales of just under $800 million.

These results will obviously miss expectations, and investors are responding by bidding Dycom shares down 22% as of 11:10 a.m. EDT.

Hand holding a computer wire and plug

Investors are pulling the plug on Dycom stock today. Image source: Getty Images.

So what

Taken at their midpoints, Dycom's new projections imply sales will come in about 5% weaker than previously predicted, and profits will be about 3% below expectations in Q2.

And that's the good news.

Now what

The bad news is that Dycom also updated its guidance for the year as a whole. Management had previously guided investors to expect it would earn between $3.81 and $4.70 per share for fiscal 2018, on sales of $3.23 billion to $3.43 billion. Now, management says profits of $2.17 to $2.62 per share on sales of $3.01 billion to $3.11 billion are more likely.

Thus, full-year results are likely to yield 44% less profit than previously expected, on sales about 8% below expectations. It's no surprise investors are heading for the exits today.