Broadcom (BRCM) is well off its 52-week high of $42.10, and that got much worse with earnings. The first reaction was to send shares down over 5%.
Net revenue for the first quarter of 2007 was $901.5 million, a decrease of 2.4% from the $923.5 million reported for the fourth quarter of 2006 and an increase of 0.1% from the $900.6 million reported for the first quarter of 2006. Net income for the first quarter of 2007 was $61.0 million, or $.10 per share (diluted) compared with net income of $117.7 million, or $.20 per share for the first quarter of 2006.
Wall St. was expecting BRCM to come in at 27 cents a share on first-quarter revenue of $897 million.
Guidance was no fun at all. "Broadcom’s first quarter results came in better than we anticipated due to slightly higher than expected revenue combined with increased operating expense efficiencies," said Scott A. McGregor, Broadcom’s President and Chief Executive Officer. "Mixed outlooks from a few of our larger customers are causing a lower than normal level of visibility into our near-term results. We believe that these issues are near-term in nature and we remain optimistic regarding our prospects for the second half of the year."
In other words, the beating will continue until morale improves.
Douglas A. McIntyre
ALERT: Take This Retirement Quiz Now (Sponsored)
Take the quiz below to get matched with a financial advisor today.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Take the retirement quiz right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Editors' Picks
