Analog Devices Inc, a maker of signal processors, posted a 17 percent decline in quarterly profit on Tuesday, as costs and expenses rose.
The company, whose chips translate real-world signals like pressure, temperature and sound into digital signals, also gave a forecast for the current fourth quarter that was largely in line with analyst estimates. ADI stock eased slightly.
Jerald Fishman, president and chief executive, termed the company's third fiscal quarter solid, saying that it had turned out largely as we had planned in terms of our revenue growth, product sales mix and operating expenses.
Analog's fiscal third-quarter net income declined to $120.4 million, or 37 cents per share, from $144.7 million, or 39 cents per share, a year ago. Revenue edged higher to $680.3 million from $663.7 million.
Excluding stock-based compensation expenses as well as expenses related to previously announced acquisitions, Norwood, Massachusetts-based ADI said it had a per-share profit of 41 cents.
Analysts expected a per-share profit, on average, of 36 cents excluding items, within a range of 35 cents to 40 cents, on revenue of $672.9 million, according to Reuters Estimates.
For the current fourth quarter, ADI said it expects a per-share profit before items of 41 cents to 45 cents, and a net per-share profit of 36 cents to 40 cents. It pegged revenue in a range of $680 to $710 million.
Analysts currently expect a per-share profit, on average, of 40 cents, within a range of 36 cents to 50 cents, on revenue of $696.4 million.
Shares of ADI fell 44 cents, or 1.2 percent, to close at $37.72. In extended trade, the stock eased to $37.44. So far this year, the stock has advanced 16 percent, based on Monday's close. In the same time period, the Philadelphia Semiconductor Index, of which ADI is a constituent, gained 5.2 percent.