Cirrus Logic Inc.'s (CRUS) fiscal first-quarter earnings soared
as the semiconductor maker continued to post strong sales growth
and the margin improved.
But results, while topping expectations, didn't blow past them
as other chip makers' have recently, and shares fell 6.1% to $16.42
in recent premarket trading. The stock through Monday had more than
doubled this year.
For the second quarter, the company expects revenue of $98
million to $106 million, exceeding analysts' views for $86 million,
according to Thomson Reuters.
Cirrus supplies chips for use in Apple Inc. (AAPL) devices such
as the iPod and iPad, accounting for just over a third of sales for
the latest fiscal year, according to regulatory filings. Cirrus's
chips are also used in energy-efficiency products such as smart
meters, which have received a lift from energy-conservation
programs.
Cirrus posted 27% revenue growth for its latest fiscal year and
in April expected growth in the current year would be even
stronger.
For the quarter ended June 26, Cirrus Logic reported a profit of
$17.6 million, or 25 cents a share, up sharply from $221,000 a year
earlier. The latest quarter included 4 cents of charges. Analysts
most recently forecast earnings excluding charges of 28 cents a
share.
Revenue more than doubled to $81.9 million. The company in April
projected $78 million to $84 million, well above
then-expectations.
Gross margin rose to a better-than-expected 57.1% from
52.2%.
-By Tess Stynes, Dow Jones Newswires; 212-416-2481; Tess.Stynes@dowjones.com