* Forecasts 4th-quarter rev of $190 mln-$205 mln vs est
* 3rd-quarter adjusted earnings per share $0.79 vs est $0.57
* 3rd-quarter revenue $163.3 mln vs est $145.6 mln
* Shares up 19 pct after-market
By Neha Alawadhi
April 25 Touchscreen chipmaker Synaptics Inc
forecast current-quarter results far above analysts'
estimates and confirmed that it had won contracts from Samsung
Electronics Co Ltd for its Galaxy S4 smartphone and
Note 8 tablet.
The company, whose shares rose 19 percent in after-hours
trading on Thursday, said it expects fourth-quarter adjusted
earnings of 88 cents to $1.00 per share on revenue of $190.0
million to $205.0 million.
The forecast far outstripped the average analyst earnings
estimate of 62 cents per share, on revenue of $158.4 million,
according to Thomson Reuters I/B/E/S.
"Synaptics ClearPath technology is being implemented in the
next generation Samsung Galaxy S4 flagship smartphones as well
as the new Samsung Note 8 tablet," Chief Executive Rick Bergman
disclosed in a conference call with analysts.
Bergman said Synaptics' chips were being used for Galaxy
S4's "air view" feature, which allows users to retrieve email
and calendar previews by hovering their fingers over the apps.
Samsung has said it is seeing "unexpectedly strong demand"
for the Galaxy S4 smartphone.
Stifel Nicolaus Co analyst Kevin Cassidy said Synaptics was
also well-positioned to gain market share in the second cycle of
Microsoft Corp's Windows 8 products.
Synaptics' touchscreen chips are also used in smartphones
like HTC Corp's One, Sony Corp's
water-resistant Xperia and BlackBerry's Z10.
LESS DEPENDENCE ON PCS
Synaptics has been reducing its dependence on personal
computers and is moving towards smartphones and tablets.
Revenue from mobile customers rose 57 percent to $104.7
million in the third quarter, while revenue from PC products
declined 9.9 percent to $58.6 million.
PC sales plunged 14 percent in the first three months of
2013, the biggest decline in two decades of keeping records,
while tablets continued to gain in popularity, tech tracking
firm IDC said earlier this month.
Synaptics' results are in sharp contrast to those of rival
Cypress Semiconductor Corp, which last week forecast weak
current-quarter margins as rising competition hurt prices of
Synaptics said it expects a fourth-quarter gross margin of
48 percent to 49 percent. The margin was 49.6 percent in the
Stifel Nicolaus's Cassidy said that even though Synaptics'
competitors tend to be faster to market, the company takes the
time to develop more application-specific chips.
Synaptics' net income rose to $36.4 million, or $1.07 per
share, in the third quarter, from $11.4 million, or 33 cents per
share, a year earlier.
On an adjusted basis, the company earned 79 cents per share,
beating analysts' average estimate of 57 cents per share.
Revenue rose 24 percent to $163.3 million, way above
analysts' average estimate of $145.6 million.
Synaptics shares were trading at $45.50 in extended trading
after closing at $38.54 on the Nasdaq.