Marvell Technology Q1 Profit Tops Estimate; Revenue Misses; Outlook Weak

(RTTNews) - Chipmaker Marvell Technology Group Ltd. (MRVL) reported net income for the first quarter of $14.1 million or $0.03 per share, compared to $99.5 million or $0.19 per share for the year-ago quarter.

Excluding items, adjusted net income for the first quarter was $71.1 million or $0.13 per share, compared to $144.2 million or $0.27 per share in the prior year quarter.

Revenue for the first quarter fell 24% to $724.29 million from $957.83 million a year earlier.

Analysts polled by Thomson Reuters expected the company to earn $0.10 per share on revenue of $733.83 million for the first quarter. Analysts' estimates typically exclude special items.

Looking forward to the second quarter, the company forecasts revenue of $710 Million to $740 Million, earnings per share of $0.02 +/- $0.01 and adjusted earnings per share of $0.11 +/- $0.01. Analysts currently expect the company to earn $0.16 per share on revenue of $784.25 million for the second quarter.

Marvell Technology also said that Mike Rashkin has expressed his intention to retire as chief financial officer, a role that he has held since December 2013. Rashkin served the company in a variety of senior roles since 1999. His retirement will be effective May 22.

The company said it has appointed Sukhi Nagesh, vice president of finance and investor relations, to serve as interim chief financial officer, effective May 22.