Broadcom Profit Rises As Revenue, Margins Improve; Stock Up 4%

(RTTNews) - Broadcom Corp (BRCM), a provider of semiconductor solutions for wired and wireless communications, on Tuesday reported first-quarter net earnings of $209 million or $0.34 per share compared with $165 million or $0.28 per share last year.

Results for the quarter included impairment charges of $143 million.

Excluding items, adjusted earnings for the quarter were $0.64 per share compared with $0.33 per share a year ago.

Revenues for the quarter were up 3.7% at $2.06 billion compared with $1.98 billion in the prior year.

Analysts polled by Thomson Reuters estimated earnings of $0.60 per share on revenues of $2.01 billion for the quarter. Analysts' estimates typically exclude special items.

The company's gross margin for the quarter improved to 52.8% from 49.4% last year.

For the second quarter, the company expects revenues of $2.10 billion, plus or minus $75 million. Analysts expect on revenues of $2.07 billion.

"Looking to the June quarter, we see operating performance continuing to strengthen on tight operating expense discipline and strong margins," said CEO Scott McGregor.

Broadcom shares were gaining $1.92 or 4.37% at $45.90 in after-hours trade on the Nasdaq.