November 18, 2024
Business

Fairchild posts $8.8 million loss in 3rd quarter

SOUTH PORTLAND – Fairchild Semiconductor International on Tuesday posted a third-quarter loss of $8.8 million, or 9 cents per diluted share.

For the same period last year, the company reported adjusted net income of $84 million, or 82 cents per diluted share.

The results beat First Call estimates by a penny a share.

Revenues fell 32 percent, from $476 million to $325.4 million.

The company said the third-quarter loss included unusual charges of $1.8 million for research and development related to the acquisition of Impala Linear Corp. and employee severance charges. Kirk Pond, Fairchild’s chairman, president and chief executive officer, said the company captured market share this year.

In the third quarter, Fairchild outperformed the industry, whose revenues were down 45 percent, he said.

The company predicted overall revenue for the fourth quarter would be flat or down as much as 5 percent from the third quarter.

Beginning backlog going into the fourth quarter was up about 14 percent from the third quarter and the bookings rate for the first three weeks of the quarter were healthy by seasonal standards, according to Joe Martin, executive vice president and chief financial officer.

“We remain cautious, however, about the extent of the seasonal demand in the fourth quarter we are currently seeing for personal computers and consumer electronics due to widespread uncertainty about consumer spending plans,” Martin said.

Fairchild stocks rose 10 cents to $20.10 in trading Tuesday.

Fairchild has its headquarters in South Portland and has about 11,000 employees worldwide who design, manufacture and market a wide variety of computer chips.


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