NetApp Shares Decline On Weak Earnings Outlook, Layoffs

NetApp Inc. shares declined in the extended session Wednesday after the storage and data management company announced layoffs and forecast an earnings outlook that fell short of Wall Street estimates. NetApp shares declined 2.8% to $22.90. The company forecast adjusted fiscal fourth-quarter earnings of 55 cents to 66 cents a share on revenue of $1.35 billion to $1.5 billion. Analysts surveyed by FactSet had estimated 72 cents a share on revenue of $1.45 billion. For the fiscal third quarter, NetApp reported adjusted earnings of 70 cents a share on revenue of $1.39 billion. Analysts had forecast 68 cents a share on revenue of $1.44 billion. In a separate filing, NetApp said it will cut its workforce by 12% by the end of 2017's fiscal first quarter.