Wireless Facilities posted third-quarter revenue of $108.9 million, up 14 percent from last year's $95.8 million. However, the fourth quarter does not look as promising since hurricanes in the Southeast US have driven up the cost of labor and materials in the short term. The company said the situation will lead to a cut in forecasted revenue for the fourth quarter. Wireless Facilities also discovered "significant operational issues" in its Latin American operation, including cost overruns and work that had not been documented in advance. The oversights resulted in a $15 million reduction for forecasted fourth-quarter revenue. The company said it plans to scale back its Latin American operations and make changes to the operation's management team. Shares of the company plunged 13 percent yesterday after the announcement.
For more on Wireless Facilities' outlook:
- see this piece from the San Diego Union-Tribune