Electronics for Imaging stock halted as outlook slashed

Electronics For Imaging Inc. shares were halted in the extended session Tuesday after the imaging supply company cut its outlook for the quarter. Electronics For Imaging shares rose 1.6% to close at $27.18 in Tuesday's regular session. The company forecast adjusted earnings of 45 cents to 47 cents a share on revenue of $255 million to $257 million. That's down from a previous forecast of 57 cents to 65 cents a share to $275 million to $285 million. Analysts surveyed by FactSet expect earnings of 60 cents a share on revenue of $280.7 million. "Late in the quarter we began seeing a substantial shift in buying behavior versus the prior year in many of the industries we serve," said EFI Chief Executive Bill Muir in a statement. "This was felt most significantly in the Americas. Customers became increasingly concerned about economic trends and many decided to defer capital expenditures until they had greater clarity on the economic environment." The company said the majority of its revenue shortfall was in its industrial inkjet business, which declined about 5% to 6% year-over-year. Electronics For Imaging also said its display graphics and building materials businesses were "expected to be weak in the quarter" but "were down more significantly than anticipated," the company said in a statement.

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