Microchip Raises Low End Of Q3 EPS Outlook Range

(RTTNews) - Microchip Technology Inc. (MCHP) said Tuesday that it now expects third quarter net sales to be down 2% to 5% sequentially, earnings to be $0.30 to $0.33 per share and adjusted earnings to be $0.60 to $0.64 per share.

Previously, the company expected third quarter net sales to be down 2% to 7% sequentially, earnings to be $0.29 to $0.33 per share and adjusted earnings to be $0.59 to $0.64 per share.

Analysts polled by Thomson Reuters expect the company to earn $0.62 per share on revenue of $520.75 million for the third quarter. Analysts' estimates typically exclude special items.

"We have continued to see an improvement in our bookings and billings since our earnings call on October 30, 2014," said Steve Sanghi, Microchip's President and CEO.

"We are now even more confident that the small correction that we experienced in the September quarter is behind us, and we currently expect to provide guidance of a low single digit sequential revenue increase for the March 2015 quarter when we announce our fiscal third quarter of 2015 results in late January," Sanghi added.