Magma 1Q Loss Shrinks To $4.3 Million

SAN JOSE, Calif. (AP) — Chip design software maker Magma Design Automation Inc. said Thursday its first-quarter net loss shrank to $4.3 million as costs dropped faster than revenue fell.

The loss for the three months to Aug. 2 amounted to 9 cents per share, down from a loss of $15.3 million, or 35 cents per share, a year ago. Excluding stock-based compensation and other items, Magma said it would have earned 3 cents per share.

Revenue fell 37 percent to $28.8 million, from $45.7 million last year.

Magma said it expects revenue for the second quarter between $28.5 million and $29 million with a loss of 17 cents or 18 cents per share. Adjusted earnings were seen between a penny and 2 cents per share.

In after-hours trading, shares of Magma Design Automation advanced 8 cents, or 5.7 percent, to $1.48. It finished the regular session at $1.40.