Some good news for MCHP followers. During the last inventory correction about 2 years ago, MCHP turned around prior to other tech stocks. Hopefully the same will be true this time for the rest of the tech sector.
Microchip sees Q1 results ahead of Q4
CHANDLER, Ariz., June 30 (Reuters) - Microchip Technology Inc. said Tuesday it expects 1998 first quarter net sales to be above analysts' estimates and up about 7 percent from its fourth quarter.
The company said in a statement it expects earnings per share for the quarter, ended June 30, will be up about 19 percent, excluding charges, compared with the fourth quarter.
In the fourth quarter the company had revenues of $93 million and diluted earnings per share of $0.26.
Analysts had expected the company to report first quarter profits of $0.27 a share, according to First Call. In the comparable year-ago quarter the company reported net income of $17.8 million, or $0.32 a share, on revenues of $97.2 million.
The company also said it plans to take a first quarter special charge of about $5.5 million for settlement of various legal matters and restructuring costs.
''After reduced shipment levels in the March quarter, orders and shipments during the June quarter were strong in all major geographies,'' said president and chief executive Steve Sanghi.
''Notwithstanding the continuing economic difficulties in Asia and Japan, Microchip's shipments to Asia began to recover as expected during the quarter,' he said.
''As we look forward, the majority of the company's leading indicators are positive and we remain optimistic about our prospects for continued sequential quarterly growth.'' |
