Today's Tech Winners and Losers
Shares of International DisplayWorks (IDWK) were among technology's winners Tuesday, climbing 16% after the maker of liquid crystal display products posted better-than-expected first-quarter results.
The company earned $1.4 million, or 4 cents a share, on sales of $23.5 million. Excluding items, the company earned $785,000, or 2 cents a share. Analysts polled by Thomson First Call expected earnings of 1 cent a share on sales of $22.5 million. During the year-earlier quarter, the company earned $1 million, or 3 cents a share, on sales of $18.1 million. Looking ahead, International DisplayWorks sees second-quarter sales of $24 million to $30 million. Analysts project second-quarter earnings of 4 cents a share and sales of $30.1 million.
The company also announced the hiring of Joe Bedewi as chief financial officer. Bedewi, who previously served as financial controller at Intel (INTC), replaces Jeff Winzeler, who moved to the role of chief operating officer in December. Shares were trading up 96 cents to $6.83.
Despite posting better-than-expected fourth-quarter results, Sonus Networks (SONS) saw its shares drop 8%. The maker of advanced phone switches earned $5 million, or 2 cents a share, on revenue of $57.3 million. Analysts expected earnings of 1 cent a share and revenue of $50.1 million. A year earlier, the company earned $6.3 million, or 2 cents a share, on revenue of $45.1 million. "2005 was a strong year for Sonus, culminating with robust revenue, order, and shipments growth in the fourth quarter," the company said. Shares, which have climbed about 33% since the beginning of the year, recently were down 45 cents to $4.97.Shares of Western Digital (WDC) rose modestly after the hard-drive maker reiterated its third-quarter earnings and sales guidance. The company continues to expect earnings of 36 cents to 40 cents a share for the quarter ending March 31, bracketing analysts' mean estimate of 38 cents. The company predicts sales of $1.03 billion to $1.08 billion, while Wall Street anticipates sales of $1.06 billion. Gross margin is still expected to be about 19%. "The company's non-desktop business and associated new product momentum continues, helping to partially offset the March quarter seasonal patterns," the company said in a regulatory filing with the Securities and Exchange Commission. Shares were trading up 8 cents to $19.11.
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