Verigy Shares Climb On 2Q Results, Outlook

NEW YORK (AP) — Shares of Verigy Ltd. rose Friday after the maker of semiconductor testing equipment reported a narrower fiscal second-quarter loss than analysts expected. The company also offered an encouraging outlook.

"While we were pleasantly surprised at the solid upside in results, we were more caught off guard (and again, on the positive side) by the relatively strong outlook for the June quarter," Stifel Nicolaus & Co. analyst Patrick Ho told investors in a note Friday. He rates Verigy "Buy."

The company's stock jumped 68 cents, or 6 percent, to $11.99 in midday trading. The stock has ranged from $6.14 to $26.11 over the past year.

Cupertino, Calif.-based Verigy reported an adjusted loss of 44 cents per share late Thursday. Analysts anticipated a loss of 65 cents, according to a poll by Thomson Reuters.

Sales also exceeded expectations. While revenue dropped 56 percent to $71 million, analysts forecast revenue of $61.6 million.

Verigy projected sales for its fiscal third quarter between $78.1 million and $88.8 million, topping the average analyst estimate of $67.6 million.