Wireless component supplier
RF Micro Devices
offered some relief to jaded semiconductor investors late Tuesday, saying its earnings and revenue will be higher than expected for the current quarter, and predicting next quarter will see more growth.
Shares jumped 27 cents, or 4.4% in after-hours trading to $6.37. RFMD had closed up for the day by 18 cents, or 3.3%.
The company said after the close that profits for fiscal second quarter 2003 will be 3 cents per share, on revenue of around $118 million.
That's up from mid-July guidance for earnings of 1 to 2 cents per share and sales between $109 million and $114 million.
RF Micro also said revenue in the December quarter is expected to grow from September levels, adding that order visibility has improved for the end of the year.
In a prepared statement, CFO Dave Norbury said the company was seeing "broad-based strength across multiple customers and markets, which is increasing our capacity utilization and improving our order visibility into the December quarter."
RFMD's guidance would appear to be an upbeat sign for the wireless sector, which accounts for the vast majority of its business. In the most recent quarter, the company drew more than 90% of its revenue from components or modules that end up in wireless handsets.
RFMD's biggest customer
, which accounts for well over half its sales, predicted only two weeks ago that phone sales should grow a respectable 4% to 9% in the third quarter as subscribers upgrade to take advantage of new technologies.
In after-hours trading, Nokia was up 13 cents, or 1%, to $12.59, after losing 4 cents, or 0 .3%, in daily trading.