Semtech reports 3Q loss on acquisition charge

AP News
Posted: Nov 18, 2009 6:44 PM

Semiconductor maker Semtech Corp. on Wednesday reported a third-quarter loss due to a charge related to its acquisition of Sierra Monolithics Inc.

For the fiscal quarter that ended Oct. 25, Semtech reported a preliminary loss of $20.9 million, or 34 cents per share, compared with a profit of $11.5 million, or 19 cents per share, in the year-ago quarter. When excluding a $32.8 million tax charge related to Semtech's acquisition of Sierra, which was also announced Wednesday, Semtech earned 19 cents per share.

Revenue fell 6 percent to $75.1 million.

Analysts polled by Thomson Reuters had expected a higher profit of 21 cents per share on $72.5 million in revenue. Analyst estimates generally exclude one-time items.

Semtech shares fell $1.18, or 7 percent in after-hours trading, after finishing regular trading down 17 cents at $16.98.

For the current quarter, Semtech predicted a profit of 15 cents to 17 cents per share on sales that are flat or up to 4 percent when compared with the third quarter. This implies an expectation for up to $78.1 million in revenue.

Analysts are looking for a profit of 22 cents per share on $74.1 million in revenue.