Standard Microsystems Corp. (NASDAQ:SMSC) reported better-than-expected fourth quarter earnings helped by a double digit growth in sales of consumer electronics and automotive products.
Loss for the fourth quarter were $4.13 million or $0.19 per share, compared to a profit of $1.67 million or $0.07 per share last year. Adjusted earnings were $1.1 million or $0.05 per share, down from last year's $6.0 million or $0.26 per share.
Revenue fell 11% to $89.87 million, which included $7.0 million in sales related to the BridgeCo acquisition. Analysts had expected a loss of $0.17 per share on revenue of $91 million.
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Gross margin increased to $51.6% from 48.1%, while adjusted margin rose to 53.9% from 52.2%.
Looking ahead into the first quarter, the company expects adjusted earnings of $0.29 to $0.38 per share and revenue of $98 million to $102 million, while Street predicts profit of $0.27 per share on revenue of $97.96 million.
The company also anticipates first quarter adjusted gross margin to be about 55% and adjusted operating expenses growth of 3% to 4% sequential. Adjusted effective tax rate is estimated to be about 25% to 30%.
SMSC closed Tuesday's regular session down 0.33% at $24.23. The stock has been trading between $17.98 and $27.83 for the past 52 weeks.