FILE PHOTO: A Microsoft logo is seen in Los Angeles, California U.S. November 7, 2017. REUTERS/Lucy Nicholson
(Reuters) – Microsoft Inc said on Wednesday it does not expect to meet the third-quarter revenue forecast for its ‘more personal computing’ business, as a result of the coronavirus outbreak, sending its shares down more than 1% in after-market trading.
The company said its remaining third-quarter outlook was unchanged.
“Although we see strong Windows demand in line with our expectations, the supply chain is returning to normal operations at a slower pace than anticipated,” the company said in a statement. (prn.to/2VlmHTI)
Microsoft is the second company in the trillion dollar club to withdraw outlook. Earlier this month, Apple said that it may not be able to meet its March-quarter sales forecast.
The software maker had previously expected the unit, which houses Windows, to post third-quarter revenue between $10.75 billion and $11.15 billion.
The coronavirus outbreak, believed to have originated in a market selling wildlife in the central Chinese city of Wuhan late last year, has infected about 80,000 people and killed more than 2,700, the vast majority in China.
Reporting by Trisha Roy and Neha Malara in Bengaluru; Editing by Shounak Dasgupta