Profits Multiply at Atheros – Analyst Blog
Zacks Market Commentaries (October 20th, 2009) Writes:
Atheros Communications (ATHR) recently reported revenues of $156.6 million for the third quarter, up 13% year over year and up 40% sequentially and surpassed management’s guidance of revenues around $145 million – $150 million. The strong growth in revenues came from personal computers and wireless handsets.
Gross margin came in at 48.4% compared to 47.4% in the prior quarter and 49.4% in the year-ago quarter. Operating margin came in at 19.4% compared to 10.8% in the previous quarter and 17.7% in the year-ago quarter. Net income almost quadrupled to $38.6 million in the reported quarter from $10.0 million in the year-ago quarter and a loss of $0.2 million in the previous quarter and due to growth in sales and orders. EPS of 46 cents easily beat the Zacks Consensus Estimate of 25 cents.
Management stated that the economic environment remained challenging but the strength of the company’s product cycles and increasing
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