Compiled by Mike Mason
Santa Ana-based TTM Technologies Inc. said it plans to buy Tyco International Ltd.’s printed circuit board unit for $226 million. The acquisition stands to roughly double TTM’s sales to an annualized rate of about $650 million. TTM said the deal for the Tyco Printed Circuit Group in Stafford, Conn., should be completed in the fall.
Shares of Newport Beach-based Mindspeed Technologies Inc. slumped after the company said it expected to post a loss in the current quarter. The networking chipmaker recorded an unadjusted operating profit of $73,000 in the June quarter, versus a loss of $7.9 million a year ago. Mindspeed said quarterly revenue rose 29% to $35.9 million compared to last year. But the company expects revenue in the current period to fall 5% to 10% from the June quarter. It expects its unadjusted operating loss to be about $3.1 million in the current quarter.
Santa Ana-based Powerwave Technologies Inc. posted sales of $232.4 million in the second quarter, up 20% from a year ago. But analysts were looking for revenue of $247 million from the maker of gear for wireless phone networks. Powerwave’s shares fell sharply after the announcement. The company’s net income, excluding one-time costs, was $17.5 million, up 35% from a year earlier. Chief Executive Ron Buschur said the company is seeing sliding demand from one of its key customers in North America: Atlanta-based Cingular Wireless LLC.
Costa Mesa-based Valeant Pharmaceuticals International said it settled a lawsuit against founder and former chief executive Milan Panic for $20 million. Valeant is set to get $8 million in an initial cash payment in the third quarter, with the remainder to come within a year. Valeant had a pending lawsuit against Panic over a $33 million bonus he was paid related to the company’s 2002 spinoff of its Ribapharm unit. Meanwhile, Valeant reported adjusted income from continuing operations in the second quarter of $14.2 million, nearly double a year ago. Sales in the second quarter were up 12% to $230.2 million.
Irvine-based Allergan Inc. said its second-quarter profit more than doubled from a year ago, thanks to increased sales of its eye treatments and core Botox wrinkle-reducing drug. Allergan earned $74.2 million in the second quarter, up from $33.4 million in the year-ago quarter. Restructuring costs affected its results a year ago. Revenue shot up 33% to $787 million in the period, fueled by wrinkle fillers and other products picked up in Allergan’s $3.2 billion buy of Inamed Corp.
Santa Ana-based Advanced Medical Optics Inc. said it swung to an operating profit in the second quarter, but the company’s shares fell after its sales came in below expectations. The eye device and contact lens care maker posted a profit of $25 million in the quarter compared to a loss of $423 million a year ago when Advanced Medical took charges related to its $1.2 billion buy of Visx Inc. Advanced Medical’s revenue was up 13% to $257 million. But analysts expected Advanced Medical to post sales of $264.1 million in the quarter.
Newport Beach-based TriZetto Group Inc. said a pickup in demand for healthcare-related software helped boost earnings in the second quarter. TriZetto, which provides software and services to health plan operators, benefits administrators and others, said revenue was $88 million in the quarter, up 21% from a year earlier. The company’s net income was $6.4 million, up 28% from a year ago.
Orange Coast Title Co. has agreed to pay $800,000 to settle charges by the California Department of Insurance that it used illegal methods to boost business. Charges against Orange Coast Title included false entries in financial books, illegal payments to induce more title business, payments for furnishings and other supplies to induce title business and illegal rebates, among other alleged infractions.
Shearson Home Loans said it plans to buy Irvine-based mortgage lender Allstate Funding for $5 million in cash and stock. Allstate Funding did about $440 million in home loans last year. Its revenue was $24 million. Together, the companies are expected to produce more than $1 billion in loan volume a year.
Foothill Ranch-based Kaiser Alum-inum Corp. said it plans to spend another $30 million to expand its rolling mill in Trentwood, Wash. Kaiser said it’s seeing growth in demand for its heat treat plate used in the aerospace, defense and general engineering industries. The investment comes on the heels of a previously announced $75 million expansion at the site and is expected to double Kaiser’s plate capacity.
Anaheim-based Pacific Sunwear of California Inc. said sales at stores open at least a year fell 10.6% in July. The decline was well below a projected 1.4% drop and prompted Pacific Sunwear to lower guidance for second-quarter results. Foothill Ranch-based Wet Seal Inc., which sells clothes for teens and young women, fared far better. The company’s same-store sales grew 6.4% in July, topping expectations of a 2% gain.
