February 24, 2011 / 11:06 PM / 9 years ago

UPDATE 1-Mentor Graphics profit beats, sees strong FY12

* Q4 adj EPS $0.48 vs est $0.46

* Q4 rev $307.3 mln vs est $292.2 mln

* Sees FY12 above estimates

* Shares rise 4 pct post mkt (Adds outlook, background, share movement)

Feb 24 (Reuters) - Chip-design software maker Mentor Graphics Corp , which is being wooed by activist investor Carl Icahn, reported market-topping quarterly results boosted by a 40 percent growth in bookings, and forecast a strong fiscal 2012.

Earlier this week, Icahn mounted a bid of about $1.73 billion for Mentor, hoping to allure potential suitors into coming forward with a better offer.

Mentor, which competes with Synopsys Inc and Cadence Design Systems , posted a 25 percent rise in net income at $49.2 million, or 43 cents a share, while revenue jumped 30 percent. Excluding special items, it earned 48 cents per share.

The company said last week that it expected to meet or exceed fourth-quarter targets.

“Mentor set an all-time revenue record this past year, growing the fastest of the ‘Big 3’ EDA companies,” Chief Executive Walden Rhines said in a release.

For fiscal 2012, the company expects a profit of about $1 per share, excluding items, and revenue of about $1 billion.

Analysts on an average were expecting full-year earnings of 85 cents a share, on revenue of about $1 billion, according to Thomson Reuters I/B/E/S.

The company expects its high-margin printed circuit board design business to drive operating margin growth momentum in fiscal 2012.

Shares of the Wilsonville, Oregon-based company rose 4 percent in trading after the bell. They closed at $15.09 on Thursday on Nasdaq.

The stock, which hit a near 4-year high of $16.56 on Feb. 22 after Icahn’s bid, has climbed 35 percent since it reported third-quarter results on Nov. 19. (Reporting by Sayantani Ghosh; Editing by Gopakumar Warrier)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below