Microsoft says will not meet Q3 2020 More Personal Computing guidance

Satya Nadella speaking at the 2016 World Economic Forum in Davos, Switzerland.

David A. Grogan | CNBC

Microsoft shares fell 2% in extended trading on Wednesday after the company said it doesn’t expect to meet the quarterly revenue guidance it previously provided for the segment that includes Windows.

The move comes a week after Apple disclosed that it did not expect to reach its own quarterly revenue guidance.

“Although we see strong Windows demand in line with our expectations, the supply chain is returning to normal operations at a slower pace than anticipated at the time of our Q2 earnings call,” Microsoft said in a statement. “As a result, for the third quarter of fiscal year 2020, we do not expect to meet our More Personal Computing segment guidance as Windows OEM and Surface are more negatively impacted than previously anticipated. All other components of our Q3 guidance remain unchanged.”

Microsoft’s guidance for the segment for the quarter, at $10.75 to $11.15 billion, was wider than usual specifically because of the public health situation that had been emerging in China.

The company said its other guidance for the fiscal third quarter still stands.

This is breaking news. Please check back for updates.

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