INDIANAPOLIS-Inadequate product supply in the Asia-Pacific region, price instability and the
devaluation of the Brazilian real will cause Brightpoint Inc.’s quarterly and annual net income to fall below
expectations, said the company.
The company anticipates revenue for the first quarter, ended March 31, will be in
the range of $375 million to $400 million, and earnings per share will be approximately zero.
In both the Asia-
Pacific and Latin America divisions, Brightpoint has tightened its credit policies in response to the recent economic
uncertainties, but in doing so, may have lost sales to competitors offering more liberal credit terms.
Anticipated
revenue and operating income from its agreements with various Iridium gateway operators and Kyocera Corp. also fell
short of expectations, said Brightpoint. Iridium experienced limited activity in the first quarter, and Kyocera was
delayed in delivering its handsets to Brightpoint.
The company expects only its North America division will
generate revenue and operating income consistent with its expectations.
Brightpoint’s stock dropped sharply on the
news.
