Analog Devices fiscal 2nd-quarter net income more than triples, outlook beats expectations

Analog Devices fiscal 2Q net income triples

NORWOOD, Mass. — Chip maker Analog Devices Inc. said Tuesday its fiscal second-quarter profit more than tripled on strong sales, and its outlook for the current quarter blew past analysts’ expectations, sending stocks up in after-hours trading.

Net income for the three months ended May 1 jumped to $167.1 million, or 55 cents per share, from $51.7 million, or 18 cents per share in the same period last year.

Analysts polled by Thomson Reuters expected lower net income of 50 cents per share.

Revenue increased 41 percent to $668.2 million from $474.7 million in the year-ago quarter, more than the $664.1 million analysts had predicted.

Sales to industrial customers, which makes up about half of Analog Device’s revenue, increased 54 percent to $316.2 million. Its next-biggest customer segment, the communications sector, saw revenue slip 1 percent to $133.5 million.

In the current quarter, Analog Devices said it expects to earn 59 cents to 61 cents per share on $695 million to $715 million in revenue.

Analysts are currently looking for lower earnings of 52 cents per share on revenue of $658.3 million.

Shares jumped 70 cents, or 2.5 percent, to $28.30 in extended trading after the report was released. Earlier, the stock fell 75 cents, or 2.7 percent, to $27.60.