OAKBROOK TERRACE, Ill. (AP) — Vasco Data Security lowered its full-year revenue forecast Monday due to lower orders from the banking industry.
Shares of the software company had tumbled nearly 23 percent by midday.
Vasco said that it expects revenue in the range of $150 million to $157 million for 2012. That's down from its forecast of revenue of $175 million or more that it issued in July.
Analysts polled by FactSet were expecting the company to generate revenue of $171 million.
CEO T. Kendall Hunt said that lower orders for delivery during the remainder prompted the cut in guidance. The company expects its orders to vary in any given period. Hunt said he believes the shortfall is the result of the timing of orders and not a "fundamental weakening of either the global banking market or our competitive position in that market".
The company's CEO said that even at the lower revenue levels, Vasco expects to continue to be profitable.
Vasco said the shortfall in orders occurred during the third quarter. It anticipates revenue for the period of $36 million; analysts were expecting $42.9 million.
Shares of Vasco Data Security International Inc. fell $2.03 to $6.91.