Marvell says weak demand hurt 3Q

Associated Press

SANTA CLARA, Calif. (AP) — Marvell Technology Group Ltd. said Thursday that its third-quarter profit fell on weaker demand for PCs, but the chipmaker's adjusted earnings met market expectations.

The Santa Clara, Calif.-based company made $68.8 million, or 12 cents per share, for the quarter that ended Oct. 27. That is down from $195.1 million, or 32 cents per share, a year ago. Adjusting for acquisition costs, restructuring costs and other items, it earned 20 cents per share compared with 24 cents per share last year.

Revenue fell 18 percent to $780.9 million.

Analysts polled by FactSet expected 20 cents per share on revenue of $773.9 million.

Marvell makes chips used in computers, smartphones and tablets. It cut its fiscal third-quarter revenue forecast last month, citing weakness in the personal computer market.

CEO Sehat Sutardja said the company is focused on growing its business through gains in other markets.

Shares of the company rose 15 cents, or 2 percent, to $7.56 in after-hours trading. The stock remains at the low end of its 52-week trading range of $7.32 to $16.86.

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