LEXINGTON, Ky. (July 13, 2012) — Shares of Lexmark International Inc. fell 15.47 percent to $20.52 (as of 1:50 p.m.), on news that the company’s second quarter revenue will be down about 12 percent, up from the 7 to 9 percent it predicted in April.
Lexmark cited weaker than expected demand, particularly in Europe, and a larger than expected impact from changes in currency exchange rates as the reasons for the decline.
“The weaker demand environment prevented the company from overcoming this currency shift,” Lexmark said in a press release.
Those factors also are expected to affect the second half of the year, the company said. It will issue its projections for the rest of the year July 24.
In a note to clients, J.P. Morgan analyst Mark Moskowitz wrote that “this disappointment affirms our view that the near-term operating environment will be downward-biased, particularly for imaging/printing companies,” according to Wall Street Journal’s Market Watch.