OmniVision Q4 Profit Down, But Tops View

(RTTNews) - Digital imaging solutions provider OmniVision Technologies Inc (OVTI), Thursday reported a drop in profit for the fourth quarter, as revenues dropped and operating costs increased. Nevertheless, both earnings and revenues for the quarter trounced Wall Street estimates.

Santa Clara, California-based OmniVision's fourth-quarter profit dropped to $6.0 million or $0.10 per share from $15.1 million or $0.26 per share last year.

Excluding items, adjusted earnings for the quarter dropped to $13.9 million or $0.22 per share from $23.9 million or $0.40 per share a year ago. On average, nine analysts polled by Thomson Reuters estimated earnings of $0.21 per share for the quarter. Analysts' estimates typically exclude special items.

Revenues for the fourth quarter dropped to $285.9 million from $331.0 million last year. Eight analysts had a consensus revenue estimate of $279.59 million for the quarter.

Gross margin for the quarter rose to 22.4 percent from 20.1 percent last year. Total operating expenses increased to $59.3 million from $52.4 million last year.

Looking forward to the first quarter, the company expects adjusted earnings of $0.32 to $0.48 per share on revenues of $310 million to $340 million. Analysts currently estimate earnings of $0.33 per share on revenues of $309.1 million for the quarter.

OVTI closed Thursday's trading at $27.11, up $0.02 or 0.07%, on the Nasdaq. The stock, however, dropped $0.05 or 0.18% in the after-hours trade.