Marvell Technology Group Ltd. (NASDAQ: MRVL) reported fiscal third-quarter financial results after markets closed on Thursday. The company said that it had $0.20 in earnings per share (EPS) and $654 million in revenue. The consensus estimates from Thomson Reuters called for $0.12 in EPS and $615.89 million in revenue. The same period from last year had $0.05 in EPS and $674.06 million in revenue.
Previously in early November, Marvell announced restructuring actions to drive growth and improve profitability. These actions are expected to be fully implemented by the end of October 2017 and are expected to lower annual operating expenses from a current annualized run rate of $1.08 billion to the $820-840 million range.
In terms of the outlook for the fiscal fourth-quarter, the company expects to have EPS in the range of $0.17 to $0.21 and revenues of roughly $565 million, give or take 2%. The consensus estimates from are calling for $0.13 in EPS and $594.55 million in revenue.
Cash flow from operations for the quarter was $121 million. On the books, cash, cash equivalents, and short-term investments totaled $1.65 billion at the end of the quarter, versus $2.28 billion at the end of the previous fiscal year.
Matt Murphy, President and CEO of Marvell, commented:
Marvell delivered strong financial performance in Q3. Our core businesses performed very well, with data storage and network infrastructure growing double digits year-over-year. I’m very pleased with the performance of our team.
Shares of Marvell closed Thursday at $13.36, with a consensus analyst price target of $13.75 and a 52-week trading range of $7.40 to $13.61. Following the release, the stock was up 8.5% at $14.50 in the after-hours trading session.