Marvell Technology posts higher 3Q profit

AP News
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Posted: Dec 03, 2009 6:48 PM

Chip maker Marvell Technology Group Ltd. said Thursday its fiscal third-quarter profit jumped sharply as expenses declined and revenue edged higher.

The company, which makes chips used in data storage and communications products, said it is seeing improving orders across all of its markets.

For the three months ended Oct. 31, Marvell earned $201.6 million, or 32 cents per share, up from a profit of $70.9 million, or 12 cents per share, in the same period a year earlier. Adjusted earnings were 35 cents per share in the latest quarter.

Revenue climbed less than 2 percent to $803 million from $791 million, while operating expenses fell 14 percent to $291.4 million.

The results handily beat analysts' expectations of a profit of 27 cents per share on sales of $770 million, according to a poll by Thomson Reuters.

Shares rose 97 cents, or 5.9 percent, to $17.50 in after-hours trading after closing unchanged at $16.53.