2024-02-21 07:17:54 ET
Analog Devices Inc (NASDAQ: ADI) is trading down in premarket on Wednesday after reporting disappointing results for its first financial quarter.
This is a developing story. Figures missing below will be updated as received!
Investors are concerned also because the management issued muted guidance for the future. Analog Devices now forecasts $1.26 of adjusted per-share earnings on $2.10 billion in revenue.
Analysts, in comparison, were at a share and billion, respectively. Vincent Roche – the chief executive of Analog Devices said in a press release today:
We expect customer inventory rationalization to largely subside in our second quarter, and thus enter the second half in a more favorable business backdrop.
expects its operating margin (adjusted) to sit at about 37% in the current quarter. Shares of the semiconductor giant are now up over 20% versus late October.
Earned $586 million versus the year-ago $1.13 billion
Per-share earnings also declined from $1.88 to 93 cents
Adjusted EPS printed at $1.73 as per the earnings report
Revenue tanked 23% year-over-year to $2.51 billion
Consensus was $1.71 a share on $2.50 billion revenue
Analog Devices reported $3.2 billion of free cash flow for its recently concluded quarter. CEO Roche also said on Wednesday:
We are well positioned to capitalize on the inevitable upswing given our replenished die banks, short lead times, and agile hybrid manufacturing model.
Analog Devices did, however, raised its quarterly dividend by 7.0% to 92 cents a share on Wednesday. Richard C. Puccio will join as its chief financial officer, as per the press release.
This is a developing story. Check back in a few minutes for more updates!
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