Consumer products revenue growth helps Iomega 1Q profit rise

For the quarter that ended March 31, Iomega earned $1.9 million, or 4 cents per share, compared with $1.1 million, or 2 cents per share, in the year-ago quarter.

The company's revenue rose 26.2 percent to $95.9 million.

Analysts polled by Thomson Financial expected a profit of 5 cents per share on $92 million in revenue. The estimates generally exclude special items.

Iomega said that revenue in its consumer products segment climbed, with revenue from consumer storage solutions -which includes hard disks and optical and floppy drives -rising 42.9 percent to $75 million.

The company's operating expenses also declined slightly to $11.3 million from $13.2 million.

Data storage systems maker EMC Corp. agreed to acquire Iomega in April for $213 million, and said near the end of the month that would begin a tender offer to acquire all outstanding Iomega shares. The tender offer is set to end at midnight on May 21.