Verigy shares fall as fiscal 2nd-quarter outlook disappoints investors

Verigy shares fall on lower-than-expected 2Q view

PHILADELPHIA — Shares of Verigy Ltd. fell Wednesday after the maker of chip testing equipment predicted fiscal second-quarter results below Wall Street’s expectations.

The stock fell 77 cents, or 7.1 percent, to $10.07 in afternoon trading. The stock has ranged from $6.14 to $13.75 over the past year.

Late Tuesday, Verigy forecast a loss of 3 cents per share to 12 cents per share for its fiscal second quarter ending in April. Excluding one-time items, the company expects per-share results to range from a loss of 8 cents to a profit of a penny.

Analysts, who typically exclude special items from their estimates, predicted a per-share profit of 2 cents, according to a poll by Thomson Reuters.

Verigy also predicted second-quarter revenue of $107 million to $117 million. Analysts expect $119.8 million.

Credit Suisse analyst Satya Kumar cut his fiscal 2010 earnings and revenue estimates following the report. He said orders of memory testing equipment remains weak.