DOW JONES NEWSWIRES
LSI Corp. (LSI) swung to a fourth-quarter loss as
restructuring-related charges jumped, which masked higher revenue
and margins.
The storage-chip maker projected first-quarter earnings of 7
cents to 13 cents a share on revenue of $605 million to $635
million. Analysts polled by Thomson Reuters forecast 10 cents and
$616 million, respectively.
LSI has returned to black ink in recent quarters after a string
of losses on a rebound in business spending on information
technology. The company went through a transformation in recent
years, turning itself from a diversified chip maker with handset
and manufacturing operations, among other offerings, to a provider
of chips for networking and storage.
LSI reported a loss of $13.4 million, or 2 cents a share,
compared with a year-earlier profit of $64.8 million, or 10 cents a
share, a year earlier. Excluding stock-compensation, restructuring
and other impacts, earnings fell to 14 cents from 18 cents. Revenue
jumped 4.2% to $664.5 million.
In October, the company projected adjusted earnings of 10 cents
to 16 cents on revenue of $635 million to $665 million.
Gross margin widened to 43% from 41.8%, in line with the
company's October target.
Shares gained 2.4% to $6 after hours.
-By John Kell, Dow Jones Newswires; 212-416-2480;
john.kell@dowjones.com