Feb 12 Chip gear maker Applied Materials Inc
, the world's largest chip gear maker, posted
higher-than-expected quarterly results as demand for its display
and semiconductor products picked up, and forecast
current-quarter results largely ahead of analysts' estimates as
smartphones and tablets drive sales.
The Santa Clara-based company's shares rose 5 percent after
closing at $13.77 on the Nasdaq on Wednesday.
The company said it expected to earn 9 cents to 15 cents per
share in the second quarter. It said revenue could rise 15 to 25
percent from the first quarter, which translates to $1.8 billion
to $1.96 billion.
Analyst were expecting the company to earn 11 cents per
share on revenue of $1.8 billion, according to Thomson Reuters
In the first quarter, net income fell to $34 million, or 3
cents per share, from $117 million, or 9 cents per share, a year
earlier. Excluding items the company earned 6 cents per share.
Revenue fell 28 percent to $1.57 billion.
Analysts had expected the company to earn 3 cents per share
on revenue of $1.55 billion.
Orders for the company's semiconductor products rose 84
percent, driven by increased demand in foundry and memory. The
business accounted for about 86 percent of its total revenue in
the first quarter.