SanDisk profits declining thanks to a 'glut' of flash memory on the market

SanDisk's Q1 results revealed that the company made only $114 million in profit, compared to $224 million in the same period last year. It's also reduced the outlook for the second quarter, saying that revenue will fall from $1.30 billion to $1.05 billion for the second three months of the year. It's pointing to a "glut" of flash memory in the market; due to consumers tightening their purse strings and too many chips being made. However, CEO Sanjay Mehrotra was optimistic that as consumers clamor for new computers, smartphones and cameras toward the holiday season, demand will increase -- unless they just buy-up all the currently existing inventory on the cheap, that is.