Micropolis Shares Drop on Revenue Forecast

Micropolis Corp., the Chatsworth maker of computer disk drives, saw its stock price drop 24% to close at $7.06 per share from $9.25 Monday after the company said it may post a loss in the fiscal first quarter that ends March 31.

The company said it expects revenues will “decline significantly” in the quarter due to lower-than-expected orders of two types of disk drives used in high-end data-processing servers. Also, faulty parts from a Micropolis supplier forced the company to halt production of a third type of disk drive for about five weeks while waiting for replacements, said Stuart Mabon, the company’s chief executive officer.

Micropolis reported a profit of $4.8 million on revenue of $107.6 million in the fourth quarter that ended Dec. 30. In the year-ago first quarter, the company lost $9.76 million on sales of $83.7 million.