Cree (Nasdaq: CREE) missed Wall Street profit expectations for its most recent quarter.

The light emitting diode and semiconductor firm reported a profit of 55 cents, or $60.7 million, not counting one-time exceptions. Revenues were $257 million.

Cree’s revenues actually declined from the previous quarter with revenues down 4 percent.

The news sent Cree shares down 15 percent in after-hours trading moments following the financial report.

Cree dropped to $53.53, down $9.18.

“I don’t think it’s good for the LED stocks no matter how you slice it when the end market for all of these guys looks weaker than one of the main players would have expected,” Avian Securities analyst Andrew Abrams told TheStreet.com.

The company fell short of Wall Street expectations of $257 million in revenues.

Its forecast for current quarter revenues of $245-265 million also fell short of Street forecasts, which were $288 million.

Cree’s projection of profits between 38-45 cents a share are well short of Street expectations of 58 cents.

“Q2 results reflected continued growth in our LED lighting product line, but revenue and earnings were lower than our targets due primarily to lower sales to our LED component distributors in Asia,” said Chuck Swoboda, Cree’s chairman and chief executive officer, in a statement.

“We are managing through an inventory correction in Asia in the near term, but the opportunity in LED lighting has not changed,” he added.

“Quarterly revenue increased 29 percent year-over-year and based on the market trends we are seeing, and the success of our own LED lighting business, we are more confident that we will see continued adoption of LED lighting over the next several years.”

Later, in a conference call, Swoboda tried to reassure analysts about his optimism for future growth. (Read details here.)

A year ago, Cree reported a 38-cent profit.

Read the quarterly financial report here.

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