RF Micro Devices beats estimates; stock leaps
Shares of chip-maker RF Micro Devices jumped nearly 11 percent in after-hours trading Tuesday after the company reported fiscal second-quarter earnings that beat Wall Street estimates.
The maker of chips for wireless communications devices, including cell phones and cable modems, on Tuesday posted a net loss of $16.5 million, or 6 cents per share, compared with a profit of $14.3 million, or 5 cents per share, a year earlier. Revenue fell 14 percent to $209.7 million.
But the Greensboro, N.C., company said that excluding share-based compensation, a loss on the transfer of an asset, intellectual property rights litigation costs and other one-time items, RF Micro Devices made a profit of 3 cents per share. That beat Wall Street expectations and the company's forecast. Analysts polled by FactSet expected earnings of 1 cent per share on revenue of $198.5 million for the quarter that ended Sept. 29.
The company also said it expects third-quarter revenue of $245 million and earnings after one-time items of 6 cents per share. That also beat Wall Street estimates. Analysts had expected 4 cents per share on revenue of $219 million.
Shares of the company rose 43 cents, or 10.9 percent, to $4.36 after the markets closed Tuesday.