Integrated Device Tech Guides Sales Lower

The company cites weakness across end markets.
Publish date:

Networking chipmaker

Integrated Device Technology

(IDTI) - Get Report

said it missed its first-quarter sales target due to broad weakness.

Shares of the San Jose, Calif.-based company dropped 6% after hours to $10.25 on Instinet late Wednesday, after closing the regular session at $10.94.

IDT said revenue for the quarter ended July 3 will be between $93.2 million and $94.2 million. Analysts had expected sales of $100 million and earnings of 7 cents a share.

The new sales target represents a sequential decline of 3% to 4% vs. an earlier projection of flat sales to growth of 4%.

IDT said it encountered "general weakness across most end markets other than enterprise, as well as unanticipated softness in distribution revenue."

Among end customers,

Cisco Systems

(CSCO) - Get Report

made up between 20% and 25% of IDT's fiscal 2005 sales, according to its annual report filed in June.

Shares of


(AVT) - Get Report

, IDT's major distributor, slipped 9 cents to $24.12 in after-hours trading, while its electronic manufacturing system partner,


(CLS) - Get Report

, was off a penny to $13.69.

IDT will report results on July 28.