Com Dev sees lower Q4 results
Canadian satellite technology company Com Dev International Ltd said it expects to post lower fourth-quarter results, hurt by weakness in two of its domestic government programs.
The global designer and manufacturer of space hardware subsystems expects to post net income of less than C$1 million, down from C$4.8 million last year.
The company also expects to record an unrealized foreign exchange loss of C$1.5 million on its portfolio of currency hedges.
Com Dev forecast revenue between C$56 million and C$58 million, down from C$59.8 million a year ago.
Analysts on average were expecting revenue of C$63.6 million, according to Thomson Reuters I/B/E/S.
Gross margin is expected to be 25 percent, down from 27 percent last year.
For 2010, the company forecast revenue growth of at least 10 percent.
Shares of the company closed at C$3.60 Friday on the Toronto Stock Exchange.
(Reporting by Isheeta Sanghi in Bangalore; Editing by Anne Pallivathuckal)
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