Stock:
Symbol Lookup
Register | Login
...
History
...
...

Pre Market | Dow Jones | Gold | Newsletters | Learn


Avago Q4 Sales Outlook Upbeat

Wednesday, August 28, 2013 7:15 AM
Chipmaker, Avago Technologies Ltd. (NASDAQ: AVGO) said after the market close on Tuesday that net income dipped 2.1% in the fiscal third quarter. Higher operating expenses and narrower margin weighed on the bottom line. However, share gained in aftermarket hours as both earnings and revenue topped Wall Street’s estimates. The Company also handed better-than-expected sales guidance for the fiscal fourth quarter. For the current quarter, the Singapore based company anticipates revenue to rise by 12% to 15%, sequentially, which implies revenue of $721.3 million to $740.6 million. Analysts polled by Thomson Reuters had forecasted revenue of $696 million. For the fiscal third quarter ended Aug. 4, the Company posted a net income of $142 million or 56 cents a share compared to a net profit of $145 million or 58 cents a share, in the same quarter of last year. Stripping out onetime items such as stock based compensation and other charges, the adjusted earnings stood at 74 cents a share up from 72 cents a share. Analysts’ consensus estimate was for 62 cents a share. Net revenue rose 6.3% to $644 million from the year earlier quarter but was 15% lower compared to prior quarter. In May, the company forecasted sequential revenue growth of 6% to 9%, or $595.7 million to $612.6 million. "During the third quarter, strong demand from data-center spending and a significant uptick in industrial more than offset weaker-than-expected demand in wireless," said Chief Executive Hock Tan in a conference call. In June Avago completed its $400 million acquisition deal with CyOptics. The merger is expected to help Avago gain traction in data communications and telecommunications markets. In the latest period, CyOptics generated $21 million in the total revenue. Gross margin shrank to 47.2% from 48.7% as input costs rose 9.3%. Operating expenses climbed up 12% in the latest quarter.  
PRINT

FREE Options Trading Lessons
I'll show you how to unlock HUGE Gains with Options Trading
Let's make 2014 the year you get RICH!

Latest Headlines

Exclusive: Morgan Stanley plans natural gas export plant in new commodities forayExclusive: Morgan Stanley plans natural gas export plant in new commodities foray
NEW YORK (Reuters) - Morgan Stanley has quietly filed plans to build and run one of the first U.S. compressed natural gas export facilities, the first sign the bank is plunging back into physical co...
ECB's Nowotny says worried about euro zone economyECB's Nowotny says worried about euro zone economy
ALPBACH Austria (Reuters) - European Central Bank policymaker Ewald Nowotny is worried about the euro zone economy, which he said was showing signs of clouding over. Asked about inflation and unempl...
Japan finance minister Aso: sales tax hike impact gradually easing on economyJapan finance minister Aso: sales tax hike impact gradually easing on economy
TOKYO (Reuters) - Japanese Finance Minister Taro Aso said on Friday that the impact of April`s sales tax hike on the economy is gradually easing but it needs close monitoring from now on. Aso was sp...
Indian economy warms in after-glow of Modi's triumphIndian economy warms in after-glow of Modi's triumph
NEW DELHI (Reuters) - The after-glow of Narendra Modi`s election victory nearly four months ago is expected to have helped India`s lumbering economy register its fastest growth in more than two year...
China's Wanda, Tencent, Baidu to set up $814 million e-commerce companyChina's Wanda, Tencent, Baidu to set up $814 million e-commerce company
BEIJING (Reuters) - China`s Dalian Wanda group and Tencent Holdings Ltd <0700.HK> said on Friday they would set up a 5 billion yuan ($814 million) e-commerce joint venture with Baidu Inc <B...

Loading Headlines...
 

Stock Market

Track the stock market today with the latest news and information on all things investing! Watch your stocks perform throughout the day and watch the breaking stock market news.

Feedback | disclaimer | privacy policy

Stock Market News

The Stock Market is ever changing. Keep up on your stock market news.

Stock Market Newsletters

Read up on your favorite stock market newsletters.


Learn the Stock Market

Sharper your stock trading skills with our stock market education section.