By Angela Chen
Altera Corp. (ALTR) on Thursday reported its sales fell 16% in
the June quarter due to low demand from wireless customers.
"Our wireless customers reduced demand on us this quarter, as
expected, in reaction to continuing adverse market conditions. This
pause in wireless spend more than offset growth across many of our
vertical markets," said Chief Executive John Daane.
San Jose, Calif.-based Altera manufactures silicon chips. In
June, Intel Corp. agreed to buy Altera for about $16.7 billion in
cash, a long-discussed union of Silicon Valley chip makers that
would be Intel's biggest deal ever.
Overall, Altera posted a profit of $70.3 million, or 23 cents a
share, down from $127 million or 41 cents a share, a year
earlier.
Revenue fell to $414.2 million from $491.5 million
Analysts had expected per-share earnings of 26 cents on revenue
of $410 million, according to Thomson Reuters.
Operating expenses grew to $201.2 million from $182.6 million a
year earlier.
Shares were inactive after hours. They have increased 34% this
year through Wednesday's close.
Write to Angela Chen at angela.chen@wsj.com
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