Rubicon Technology Chops Guidance; Stock Falls

Rubicon Technology (RBCN), which provides sapphire substrates and products to the LED, semiconductor and optical industries, today reduced its Q3 and full year 2008 estimates, citing a contract modification from a major customer - Peregrine Semiconductor - and “the current slowdown in global market demand” for 2-inch diameter LED wafers.

Rubicon said it has struck a deal with Peregrine to shift $4.3 million of product scheduled for delivery in 2008 into the first half of 2009. The company also said that “the slowdown in the handheld device and small display markets” that use Rubicon’s LED wafers “has affected customer orders throughout Asia.”

For Q3, the company now sees revenue of $11.5 million to $12 million, with profits of 5-7 cents a share, down from $12.5 million and 11 cents. For the full year, the company now sees revenue of $41.5 million to $42.5 million, with profits of 26-30 cents a share; that’s down from previous guidance of $$47 million to $49 million and 43-45 cents.

After hours, RBCN is down 63 cents, or 7.3%, to $8; the stock had jumped 84 cents, or 10.8%, in the regular session.