Irvine-based communications chipmaker Broadcom Corp. on Tuesday gave a sales outlook for the current quarter that beats Wall Street’s expectations.
For the three months through September, Broadcom said it’s looking for sales of $1.7 billion to $1.8 billion, which at the midpoint represents an increase of about 40% over the third quarter of 2009 and beats analysts’ average expectations of $1.67 billion in revenues.
The company didn’t give a profit outlook.
Analysts are expecting Broadcom to see adjusted profits of $318 million.
“We anticipate that increasing demand for communications solutions and market share gains will drive strong revenue growth for Broadcom in the third quarter,” Chief Executive Scott McGregor said in a statement.
The rosy outlook comes on the heels of Broadcom’s second quarter results, which beat analysts’ expectations.
For the three months through June 30, Broadcom saw sales of $1.6 billion, up 54% from the same period a year earlier and just ahead of analysts’ expectation of $1.59 billion in revenues.
Excluding charges for stock compensation, acquisitions, write-downs on assets and other one-time costs, Broadcom posted $328 million in profits, up 154% from the year-ago quarter and trouncing analysts’ expected $308 million in profits.
Broadcom’s chips go into computers, cell phones and consumer electronics, including Apple Inc.’s iPad and Nintendo Co.’s Wii video game console.
Investors seemed nonplussed with the better-than-expected outlook.
Shares were flat to up 1% in afterhours trading on a recent market value of roughly $19 billion.
