Microsemi Misses Quarter, Gets Downgrade

The company misses estimates by a penny and gets downgraded for liquidity concerns.

Author:: Michael Dunn
Publish date:: Apr 26, 2002 10:29 AM EDT

Microsemi

(MSCC)

posted lower second-quarter sales and earnings, and the company said it expects to miss estimates for the third quarter as well.

The semiconductor company reported a net loss of $2.635 million, or 9 cents a share, including charges, compared with net income of $4.268 million, or 15 cents a share, in the year-ago period.

On a pro forma basis, Microsemi earned $2.6 million, or 9 cents a share, compared with $4.7 million, or 16 cents a share, in the year-ago period. Analysts polled by Thomson Financial/First Call had been expecting the company to earn 10 cents a share.

Sales for the quarter dropped to $55 million from $60.7 million a year ago.

For the third quarter, the company forecast pro forma EPS in the range of 9 cents to 11 cents on revenue of $56 million. Analysts are looking for EPS of 14 cents on revenue of $57.55 million.

The company was also downgraded by Bear Stearns to attractive from buy on liquidity concerns as the company's cash position fell to $15.8 million.

Shares of Microsemi were recently down almost 9% to $14.05 after closing at $15.40 Thursday.