Ingram Micro Inc., the Santa Ana-based distributor of technology products, said it lowered its second-quarter outlook on Monday and warned of a $15 million charge related to a Securities and Exchange Commission probe.
Ingram said it expects profits of $50 million to $56 million for the quarter. Earlier, the company had been looking for profits of $59 million to $65 million.
Analysts had expected profits of about $61 million.
Ingram kept its sales outlook at $8 billion to $8.25 billion. Analysts are looking for about $8.1 billion in sales.
The charge relates to an ongoing SEC probe.
Regulators are looking into transactions between 1998 and 2000 with McAfee Inc., a maker of antivirus software formerly known as Network Associates.
The SEC said Ingram Micro failed to maintain adequate records for some of the transactions.
In May, Network Associates’ former chief financial officer, Prabhat Goyal, was found guilty of committing securities fraud, filing false reports with the SEC and lying to auditors.
Based on Ingram’s dealings with the SEC, the company estimates that it needed to set aside $9 million to $15 million in the second quarter to resolve the issue.
The company warned that the charges could turn out to be more when the issue is finally resolved.
