Shares of California Micro Devices slid 12% in late trading Thursday after the company lowered its revenue forecast for the third quarter ending Dec. 31. The supplier of analog semiconductor products sees revenue of $18.8 million to $19.7 million, compared with its October projection of $19 million to $20.5 million. However, the company expects earnings to be 9 cents to 10 cents a share, at the high end of its prior forecast of 8 cents to 10 cents. Analysts polled by Thomson First Call expect a profit of 10 cents a share on revenue of $19.8 million. "We have lowered our Q3 revenue guidance due to softer than expected demand from certain mobile handset customers," said Robert Dickinson, California Micro's president and CEO, in a statement. "We have also raised the bottom end of our earnings guidance because we now expect operating expense to be lower than we had anticipated at the beginning of the quarter." The stock fell $1.11 to $7.81 in after-hours trading. Standard Microsystems shares rose 14% after the company reported net income of $5.4 million, or 24 cents a share, up sharply from net income of $600,000, or 3 cents a share, a year ago. Excluding certain items, the company earned $8.6 million, or 38 cents a share, beating analysts' estimate of 33 cents a share. Revenue for the quarter increased to $86.6 million from $50.8 million last year. Analysts expected revenue of $83.4 million. For the fourth quarter, the chip company projects revenue between $82 million and $86 million, and earnings of 28 cents to 34 a share, before items. Wall Street had forecast earnings of 31 cents a share and revenue of $81 million. Shares gained $3.97 to $31.90 after hours. Adobe Systems' ( ADBE - Get Report) net income for the fourth quarter ended Dec. 2 rose to $156.3 million, or 31 cents a share, from $113.5 million, or 23 cents a share, a year ago. Excluding certain items, the software company earned $151.5 million, or 30 cents a share, a penny above analysts' average estimate. Revenue for the quarter rose to $510.4 million from $429.5 million last year. Looking ahead, Adobe forecast first-quarter net earnings of 13 cents to 16 cents a share and adjusted earnings of 28 cents to 30 cents a sharer. Revenue is expected to come in at $630 million to $660 million. Wall Street forecasts called for adjusted earnings of 29 cents a share and revenue of $633.9 million. Adobe shares rose $1.25, or 3.6%, to $36.18 in after-hours trading.
BellSouth plans to cut the jobs of 1,500 employees in management positions. The company will record an aftertax charge of $95 million, of which $50 million will be recognized in the fourth quarter. The reductions are expected to be completed by April 30. The telco's shares were unchanged at $27.65. MKS Instruments ( MKSI - Get Report) agreed to acquire privately held Umetrics AB, a Sweden-based provider of data analysis and modeling software. Terms of the deal weren't disclosed, but MKS doesn't expect the acquisition to materially affect its near-term results. MKS was down 4 cents to $18.26 after hours. Darden Restaurants' ( DRI - Get Report) second-quarter profit rose to $55.1 million, or 35 cents a share, from $43 million, or 26 cents a share, a year earlier. Revenue rose to $1.33 billion from $1.23 billion. Analysts expected a profit of 31 cents a share and revenue of $1.3 billion. For fiscal 2006, the restaurant operator anticipates earnings growth of 15% to 20%, based on same-store sales growth of 4% to 5% for Red Lobster and Olive Garden. Darden's prior forecast called for low-double-digit growth. The stock rose $2, or 5.8%, to $36.80 in after-hours trading. LKQ a recycler of damaged cars, announced that its board approved a 2-for-1 stock split. Shareholders of record as of Jan. 3 will receive an additional share for each share owned. The stock will begin trading on a split-adjusted basis on Jan. 15. Shares of LKQ were up 35 cents, or 1%, to $33.85 in after-hours trading. Get Jim Cramer's picks for 2006.