Singapore chip manufacturer
warned of a slightly wider-than-expected loss in the fourth quarter on soft revenue, although the shortfall wasn't enough to damage the stock.
Chartered expects to lose roughly $50 million, or 20 cents an American depositary share, in the quarter, compared with its old estimate for a loss of $49 million, or 19 cents an ADS. The company put revenue for the quarter at $191 million, down from its previous estimate of $193 million.
Analysts had been expecting a loss of about 18 cents an ADS on revenue of $194 million. Reflecting investor pessimism about the semiconductor space, Charter shares traded up about 5% after-hours Tuesday on the news.
"Compared to third-quarter 2004, as we had expected earlier, we see weakness in communications followed by the computer and consumer sectors," Chartered said in a statement. "We continue to expect revenues from leading-edge 0.13-micron copper technology to increase sequentially and our overall 0.13-micron revenues to grow slightly in dollar terms and represent over 20% of our total business base revenues."
Chartered plans to release fourth-quarter results on Jan. 28.