Gigamon (GIMO) Prelim. Q2 Revs Miss Expectations

Gigamon (NYSE: GIMO) announced preliminary results for the second quarter of fiscal year 2014 ended June 28, 2014.

Gigamon expects revenue for the second quarter to be approximately $34.5 million to $35.0 million, below the company's previously stated guidance of $38.0 million to $42.0 million.

*** The Street sees revs of $40.2 million.

Gross margins and operating expenses are expected to be consistent with the previously stated guidance.

"We are disappointed in these preliminary results. We experienced challenges with closing the deals in our pipeline during the later stages of the quarter, as we continued to see longer review and approval cycles" said Paul Hooper, the company's chief executive officer. "However, we remain confident in our market opportunity and our leading technology that created this market. We will take steps to improve our execution in order to grow revenue and improve the predictability of our business. On a positive note, we added 84 new customers during the second quarter."

These preliminary, unaudited results are based on management's initial review of operations for the quarter ended June 28, 2014, and remain subject to completion of the company's customary quarterly closing and review procedures.

The company will report results for the second quarter of fiscal 2014 in its regularly scheduled earnings release and conference call after the market closes on July 24, 2014. The company will host a conference call and live webcast for analysts and investors at 5:00 p.m. Eastern time on that day.

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