Profit Sinks at Intersil

Sales fall about 7%.
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Fourth-quarter profit dropped at Intersil (ISIL) as sales fell about 7%.

The company also said Chief Financial Officer Dan Heneghan will be leaving his position, effective June 30. Dave Zinsner, currently corporate controller and treasurer, will assume the CFO responsibilities.

In recent after-hours trading, Intersil shares were off 0.9% to $15.28.

Intersil said fourth-quarter net income fell to $15.8 million, or 11 cents a share, from $23.7 million, or 27 cents a share, a year earlier.

Excluding items, the chipmaker posted pro forma profit in the latest quarter of $16.3 million, or 11 cents a share, equaling Wall Street's consensus expectations.

Sales dropped to $127.1 million from $136.1 million, essentially in line with analysts' expectations of $126.9 million.

For the first quarter, the company said it expects revenue to be about flat to slightly down sequentially with earnings of 11 cents a share.

"...We believe that the majority of the inventory adjustments in the channel are behind us, and we expect orders to increase in the first quarter over the previous quarter," said President and CEO Rich Beyer in a prepared statement. "As a result of the changes in product mix, the company anticipates its financial results to be slightly better than historical seasonal patterns."