Shares of Monotype Imaging (NASDAQ:TYPE) dropped on Friday after the provider of text imaging solutions reported its first-quarter results. Monotype missed analyst estimates across the board, reporting a steep decline in revenue. The stock was down about 14.9% at 12:50 p.m. EDT.
Monotype reported first-quarter revenue of $51.4 million, down 9.4% year over year and about $6.5 million below the average analyst estimate. Creative professional revenue fell 6% to $32.8 million, while OEM revenue tumbled 14% to $18.6 million.
Non-GAAP earnings per share came in at $0.19, down from $0.22 in the prior-year period and $0.03 lower than analysts were expecting. Adjusted earnings before interest, taxes, depreciation, and amortization was $11.0 million, flat compared to the first quarter of 2018.
"While we fell short of our expectations for the quarter, we are confident that our sales pipeline and go-to-market strategy will enable us to meet our full-year guidance," said Monotype CEO Scott Landers in the earnings release.
Monotype expects to produce second-quarter revenue between $54.5 million and $59.5 million, along with non-GAAP earnings per share between $0.23 and $0.31. For the full year, the company sees revenue between $247.0 million and $257.0 million, and non-GAAP earnings per share between $1.29 and $1.43.
While Monotype still expects to hit its full-year guidance, a rough first quarter isn't what investors were looking for.