& cplSiteName &

Envivio Shares Fall More Than 50% in 3 Hours

Jeff Baumgartner
LR Cable News Analysis
Jeff Baumgartner
8/14/2012
50%
50%

Shares in video processing specialist Envivio Inc. (NASDAQ: ENVI) fell more than 50 percent Tuesday morning after the company warned late Monday that it would miss its revenue target by a wide margin due to slow spending by customers in North America and Western Europe.

The company, which helps operators encode and package video for multiple types of screens, said it expects second-quarter revenues to be in the range of US$10 million to $11 million, versus previous guidance of between $17 million to $18 million. Shares were down $3.06 (53.73%) to $2.64 each in morning trading Tuesday.

Envivio counts Time Warner Cable Inc. (NYSE: TWC) as a customer and Ericsson AB (Nasdaq: ERIC) as a major channel partner. But its channel partner Huawei Technologies Co. Ltd. made up 18 percent of its first-quarter revenues. On the company's first-quarter call, Envivio CEO Julien Signès said the company closed a deal with a Tier 1 North American operator that is not Time Warner Cable. Envivio is scheduled to post second-quarter numbers on Sept 6.

Why this matters
Envivio's life as a publicly traded company is off to a rocky start thanks to a combination of a tough economy and lumpy sales. After a year-long delay, Envivio went forward with an IPO in late April only to see its stock drop 5.7 percent on opening day. Market conditions combined with Envivio's recent results could keep other similar, private companies with IPO ambitions, including RGB Networks Inc. , on the sidelines.



— Jeff Baumgartner, Site Editor, Light Reading Cable



(1)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
DCITDave
50%
50%
DCITDave,
User Rank: Light Beer
12/5/2012 | 5:23:55 PM
re: Envivio Shares Fall More Than 50% in 3 Hours


http://www.lightreading.com/quote.asp?Account=lightreading&Page=QUOTE&Ticker=ENVI


Click above to check the share price throughout the day. Looks like they're heading south of a $68M market cap.

Featured Video
From The Founder
Light Reading founder Steve Saunders grills Cisco's Roland Acra on how he's bringing automation to life inside the data center.
Flash Poll
Upcoming Live Events
March 20-22, 2018, Denver Marriott Tech Center
April 4, 2018, The Westin Dallas Downtown, Dallas
May 14-17, 2018, Austin Convention Center
All Upcoming Live Events
Infographics
SmartNICs aren't just about achieving scale. They also have a major impact in reducing CAPEX and OPEX requirements.
Hot Topics
Here's Pai in Your Eye
Alan Breznick, Cable/Video Practice Leader, Light Reading, 12/11/2017
Ericsson & Samsung to Supply Verizon With Fixed 5G Gear
Dan Jones, Mobile Editor, 12/11/2017
The Anatomy of Automation: Q&A With Cisco's Roland Acra
Steve Saunders, Founder, Light Reading, 12/7/2017
You Can't Fix OTT Streaming Problems If You Can't See Them
Mike Hollyman, Head of Consulting Engineering, Nokia Deepfield, 12/8/2017
Eurobites: Ericsson Restates Its Financials, Warns of Impairment Charges
Paul Rainford, Assistant Editor, Europe, 12/8/2017
Animals with Phones
Don't Fall Asleep on the Job! Click Here
Live Digital Audio

Understanding the full experience of women in technology requires starting at the collegiate level (or sooner) and studying the technologies women are involved with, company cultures they're part of and personal experiences of individuals.

During this WiC radio show, we will talk with Nicole Engelbert, the director of Research & Analysis for Ovum Technology and a 23-year telecom industry veteran, about her experiences and perspectives on women in tech. Engelbert covers infrastructure, applications and industries for Ovum, but she is also involved in the research firm's higher education team and has helped colleges and universities globally leverage technology as a strategy for improving recruitment, retention and graduation performance.

She will share her unique insight into the collegiate level, where women pursuing engineering and STEM-related degrees is dwindling. Engelbert will also reveal new, original Ovum research on the topics of artificial intelligence, the Internet of Things, security and augmented reality, as well as discuss what each of those technologies might mean for women in our field. As always, we'll also leave plenty of time to answer all your questions live on the air and chat board.

Like Us on Facebook
Twitter Feed