(Corrects second paragraph to say the company reported its fourth-quarter results on Jan. 13, not third quarter)
* Expects Q1 rev $18-19 mln
* Poor visibility into deployments, pipeline raise concern
* Shares fall 28 pct; second-biggest loser on Toronto exchange (Recasts, adds analyst quotes, share movement)
March 9 (Reuters) - Canada’s Sandvine Corp expects a surprise drop in first-quarter revenue, its first after nine quarters, sending shares of the network equipment maker down 28 percent.
Shares of the Waterloo, Ontario-based company also fell on Jan. 13, when the company reported its fourth-quarter results, as investors were disappointed with the lack of revenue visibility.
“We have limited visibility into Sandvine’s deployments and pipeline, the company is not even comfortable giving revenue guidance for one quarter,” analyst Kris Thompson of National Bank Financial said in a note to clients.
Thompson said the company’s partner-driven revenue over the last two quarters was a concern.
Sandvine, which helps broadband and telecom operators manage data traffic, expects first-quarter revenue of $18-$19 million.
Analysts on average are expecting revenue of C$25.9 million($26.7 million), according to Thomson Reuters I/B/E/S.
Sandvine, whose rivals are Bridgewater Systems Corp and Redknee Solutions Inc , had reported revenue of C$21.9 million in the year-ago quarter.
“We’d recommend putting some money to work in Bridgewater Systems to keep some exposure to the fast-growing broadband wireless sector,” Thompson said.
The company, which is scheduled to report its first-quarter results on April 6, draws about two-thirds of its revenue from outside North America.
It works with over 20 resellers, including Alcatel-Lucent and Huawei Technologies Co . It also has contracts with Japan’s NTT Communications Corp.
The company said it was disappointed with its revenue in the quarter, but did not lose any “notable deals”.
Sandvine shares, which recouped some of its losses and have risen 11 percent since January, were down 60 Canadian cents at C$2.45 on Wednesday morning on the Toronto Stock Exchange. The stock was the second-biggest loser on the exchange. ($1 = 0.971 Canadian Dollars) (Reporting by Bhaswati Mukhopadhyay in Bangalore; Editing by Don Sebastian, Sriraj Kalluvila)