Newport Beach’s Mindspeed Technologies Inc., a maker of networking chips, reported revenue in the March quarter that fell in line with Wall Street expectations, but just missed the profit target.
The company topped $38.6 million in revenue, down 4% from a year earlier and on par with analyst estimates.
The company posted an adjusted net loss of $800,000−reversing a $3.1 million profit a year ago−which included $2.5 million in patent sales that were offset by compensation, payroll costs and other special charges.
Analysts on average were expecting the company to break even, not including the special charges.
Shares traded flatly after the announced results on a market value of about $266 million.
Mindspeed saw operating expenses for the quarter hit $23.5 million, up about 9%, while its margins slipped 1%.
It expects revenue in the next quarter to grow between 7% and 11% in the range of $41 million to $43 million, above the $40.5 million analysts are expecting on average.
“We are experiencing strength in our business driven by our solutions for optical access and optical transport that we believe will drive revenue growth in the second half of fiscal year 2011,” said Mindspeed Chief Executive Raouf Halim. “We also continue to believe that long-term growth for Mindspeed will be based on our strong design win pipeline for market leading solutions in key global networking initiatives such as optical infrastructure and most significantly our expansion into 4G wireless.”
The company did not release guidance on profits in the next quarter.
Analysts on average are expecting a $1.6 million profit.
