Marvell shares jump on strong quarterly results
Friday May 23, 11:24 am ET
NEW YORK, May 23 (Reuters) - Shares of Marvell Technology Group Ltd.(NasdaqNM:MRVL - News) rose 15 percent on Friday after the communications technology provider posted strong quarterly results, driven by sales of chips and storage products.
Analysts said the first-quarter results were solidly above their expectations, and said the company projected fiscal second-quarter revenues would outpace current predictions.
For the fiscal first quarter, ended May 3, Marvell posted net income of $4.4 million, or 3 cents a share, compared with net loss $30.9 million, or 26 cents a share, a year earlier, the company said late on Thursday.
Revenue in the period climbed to $168.3 million, up 70 percent from $98.8 million for the first quarter of fiscal 2003.
"Marvell's revenue growth is being driven by the continued adoption of Gigabit Ethernet and our integrated system-on-chip storage solutions," Sehat Sutardja, Marvell chief executive, said in a statement. "Bookings were very strong during the quarter and we enter (the second quarter) with strong momentum."
The stock climbed to $31.80, up $4.22, making it the biggest net gainer on the Nasdaq and one of that market's most active issues.
[Harry: Not sure where the Gig-E chips are going. EXTR result were weak. CSCO not projecting big gains. FDRY is the only one show any strenght and most of that is government business.] |
