Shares of Synchronoss Technologies (NASDAQ:SNCR) plummeted more than 50% in morning trading Thursday after the mobile solutions company announced the sudden departure of two top executives and issued a revenue warning.
According to a press release, the company’s current chief executive officer and chief financial officer will be stepping down immediately to “pursue other interests.” Company founder and Chairman Stephen Waldis will return to the role of CEO, and former CFO Lawrence Irving will return to his former role as well.
Synchronoss also reported preliminary first-quarter financial results. The company now expects total revenue for the quarter to be about $13 million to $14 million less than its previously-announced guidance. Operating margins are also expected to be less than what was guided for.
“With a track record of meeting or exceeding expectations, we are of course disappointed with our Q1 performance in this first quarter following our acquisition of Intralinks,” said Mr. Waldis. “In view of the Company’s performance in the first quarter, we expect this will impact our full year guidance.”
Heading into today, shares of SNCR were down more than 35% year-to-date. The stock is currently a Zacks Rank #4 (Sell).
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Synchronoss Technologies, Inc. (SNCR): Free Stock Analysis Report
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