Microsoft Expects Windows Unit to Miss Revenue Outlook on Coronavirus Impact

Posted on the 26 February 2020 by Merks50

(Reuters) - Microsoft (NASDAQ:MSFT) 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. (https://prn.to/2VlmHTI)

Microsoft is the second company in the trillion dollar club to withdraw outlook. Earlier this month, Apple (NASDAQ:AAPL) 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 .75 billion and .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.