Amkor Technology Profit Tops Street; Outlook Strong; Shares Up 11%

(RTTNews) - Amkor Technology Inc. (AMKR), Monday reported a better-than-expected results for the second quarter and detailed a strong outlook for the third quarter. Shares of the company gained over 11 percent in the extended trading session.

Tempe, Arizona-based Amkor's second-quarter profit dropped to $4.7 million or $0.02 per share from $7.3 million or $0.03 last year. Revenues grew to $917.3 million from $736.7 million last year.

Analysts polled by Thomson Reuters expected loss of $0.08 per share and revenues of $876.28 million.

CEO Steve Kelley said strong Android smartphone demand and a quicker recovery at Amkor's earthquake-damaged Kumamoto factory helped the company post a better-than-expected financial results.

"We incurred approximately $13 million of incremental earthquake costs that reduced gross margin by 150 basis points and earnings per diluted share by $0.04," said CFO Joanne Solomon.

Looking forward to the third quarter, Amkor expects third quarter earnings of $0.12 to $0.28 per share and revenues of $1.01 billion to $1.09 billion. Analysts currently estimate earnings of $0.06 per share and revenues of $943.3 million.

AMKR closed Monday's trading at $6.45, up $0.16 or 2.54%, on the Nasdaq. The stock further gained $0.71 or 11.01% in the extended hours.