Fitbit Slashes Q4 and FY16 Preliminary Results

Fitbit shares continued to spiral lower and hit a new record low Monday morning following the release of preliminary Q4 and FY16 results in which the company slashed sales and profit expectations, and announced guidance for FY17. FIT shares were down over 13% in recent morning trade with a new 52-week range of $6.23 to $18.85.

The company said it expects to report 6.5 million devices sold in Q4 and revenue to be in the range of $572 million to $580 million, compared to previously announced guidance range of $725 million to $750 million, and well below the $732.8 million consensus provided by Capital IQ.

For FY16, Fitbit expects annual revenue growth to be approximately 17% from the previous forecasted growth rate of 25% to 26%.