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Emulex’s Quarterly Outlook in Line; Results for Recently Ended Quarter Top Expectations

Costa Mesa’s Emulex Corp., a maker of electronics for data storage networks, on Thursday narrowed its outlook for the current quarter in line with Wall Street’s expectations.

For the three months through December, Emulex expects to see adjusted profits of $9 million to $11 million, down 39% from the December quarter of 2009 and in line with analysts’ expectations of $9 million in profits.

Emulex is looking for sales of $111 million to $115 million, up about 5% from a year earlier and in line with analysts’ expectations of $112 million in revenue.

The narrowed outlook comes on the heels of Emulex’s results for the September quarter, which trumped analysts’ expectations.

For the three months through September 26, Emulex tallied sales of $103 million, up 21% from the same period a year earlier and just ahead of analysts’ expectation of $102 million in revenue.

Excluding stock compensation, write-downs on assets, severance pay and other one-time costs, the company reported profits of $10 million, up 43% from the year-ago quarter and beating analysts’ expected $7 million in profits.

Emulex ended the quarter with $175 million in cash and short-term assets.

The company bought back some 4 million shares during the quarter using about $40 million in cash.

Emulex’s shares were flat in afterhours trading on a recent market value of $877 million. The stock’s up 9% in the past three months.

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