Newport Beach-based chipmaker Mindspeed Technologies Inc. on Wednesday reaffirmed its revenue outlook for the current quarter, saying it sees “consistent” trends in its business.
Mindspeed, which makes networking chips, said in April it expects sales of $42.3 million to $43.9 million for the three months through June, up 5% to 9% from the March quarter.
Wall Street analysts on average expect $43.1 million in sales for the current quarter.
Mindspeed didn’t offer a profit outlook. In April, Mindspeed said it expected a gross profit margin of 64%, on par with the March quarter.
Analysts on average are looking for a profit of $5.1 million for the three months through June.
The company is seeing “record backlog levels,” Chief Executive Raouf Halim said.
Mindspeed’s seen more business from networking gear makers in Asia that buy its chips to convert phone calls to digital signals so they can be sent over fiber-optic lines.
Sales to China make up about half of Mindspeed’s revenue. Its biggest customers are large Chinese networking companies, including China Unicom Ltd. and Huawei Technologies Co., as well as Japan’s Nippon Telegraph and Telephone Corp.
