Citrix's Q3, 2011 outlook disappoints

Citrix reported a solid second quarter, but the third quarter outlook disappointed Wall Street.

Citrix reported a solid second quarter, but the third quarter outlook disappointed Wall Street.

The company reported second quarter earnings of $82 million, or 43 cents a share, on revenue of $531 million. Non-GAAP earnings were 57 cents a share.

Wall Street was expecting second quarter earnings of 55 cents a share on revenue of $522.9 million.

Citrix CEO Mark Templeton said demand for its virtualization, cloud and networking products are "strong across the board."

As for the outlook, Citrix said third quarter revenue will be $540 million to $547 million with non-GAAP earnings of 56 cents a share to 58 cents a share. Wall Street was looking for earnings of 61 cents a share on revenue of $542.8 million.

For 2011, Citrix said revenue will be $2.16 billion to $2.19 billion with non-GAAP earnings $2.38 a share to $2.41 a share. Wall Street was expecting earnings of $2.41 a share on revenue of $2.16 billion.

Shares took a dive in afterhours trading.