Broadcom lowers Q2 expectations; starts changes
Broadcom Corp. lowered its expectations for its second-quarter revenue by 32 percent to 35 percent from the first quarter, the company reported in an update.
The company reported first-quarter net losses of $356.9 million, from net income of $38.6 million a year prior.
Broadcom said last April it would review its business units and make reductions in some and invest in others.
Company President and CEO Dr. Henry T. Nicholas III said in a statement that the company is starting to implement the plans this quarter, including business unit "realignment, net staffing reductions, facility consolidations and other actions that will result in an associated charge to be taken during the second quarter."
Broadcom is not saying exactly what those entail, however. "We have not disclosed the results" of the review, Director of Investor Relations Nick Kormeluk tells CEDaily. "We can't say anything yet." More details will emerge as the changes occur.