Liberate Says Results Will Miss Estimates

Liberate Technologies Inc., a maker of interactive-television software, said its fiscal first-quarter results will fall short of forecasts because of lower spending by cable and telephone companies.

Liberate said it will report a loss of 12 cents to 19 cents a share, wider than the 6 cents to 8 cents it expected. Revenue excluding impairment costs and other expenses in the quarter ending Saturday will be $12 million to $14 million, compared with its earlier forecast of $20 million to $22 million.

The San Carlos, Calif.-based company said it will have first-quarter costs of $2 million to $3 million to streamline operations and expects to see savings in the second quarter. It did not provide specifics on steps it is taking to reduce expenses.

Analysts had forecast revenue of $20.6 million and a loss of 7 cents, according to Thomson First Call.

Liberate shares were down as much as 49 cents to $1.62 in extended trading on the report, after closing at $2.11, down 4 cents, on Nasdaq.