Newport Beach based chipmaker Jazz Technologies Inc. narrowed its loss in the second quarter from the prior one.
Jazz lost about $13 million, less than the nearly $21 million loss it reported in the first quarter.
Analysts expected a loss of about $10 million.
Jazz didn’t report year-ago numbers.
This is the first quarter the chipmaker reported earnings since indirectly going public in February with an acquisition by Newport Beach’s Acquicor Technology Inc., which later changed its name to Jazz Technologies.
The company bought Newport Beach chip plant operator Jazz Semiconductor earlier this year.
Second-quarter sales totaled about $52 million, in line with analyst’s expectations and up 9% from the first quarter.
The company said the losses were in part a result of one-time charges related to the acquisition.
Jazz also took a hit due to an industry-wide glut in chip supplies during the first quarter of the year.
“In the second quarter, we saw clear signs that the semiconductor industry is gradually emerging from the inventory correction,” Chief Executive Officer Gil Amelio said. “The conversion of design wins into production orders is picking up as our customers’ inventory levels normalize.”
Jazz said it entered the second phase of its cost cutting program during the quarter, which is expected to save the company $10 million to $15 million a year.
It’s expecting to see the payoff from its recent round of manufacturing improvements during the second half of the year, according to Paul Pittman, chief financial officer.
