RF Micro Devices Earnings: Here’s Why Investors are Selling Shares Now

RF Micro Devices Inc. (NASDAQ:RFMD) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are down 3.67%.

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RF Micro Devices Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased to $0.06 in the quarter versus EPS of $-0.02 in the year-earlier quarter.

Revenue: Rose 49.31% to $280.6 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: RF Micro Devices Inc. reported adjusted EPS income of $0.06 per share. By that measure, the company beat the mean analyst estimate of $0.05. It beat the average revenue estimate of $252.6 million.

Quoting Management: Bob Bruggeworth, president and CEO of RFMD, said, “We’re very pleased to report March quarterly results that reflect market share gains and an above-seasonal revenue performance. RFMD won share across a broad customer set and outpaced our industries’ underlying growth rates with quarterly revenue improving 3.5% sequentially and 49% year-over-year. RFMD has, and will continue to, execute on multiple opportunities to increase our dollar content generation-over-generation in the world’s leading smartphones.”

Key Stats (on next page)…

Revenue increased 3.46% from $271.21 million in the previous quarter. EPS decreased 25% from $0.08 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.06 to a profit $0.07. For the current year, the average estimate has moved up from a profit of $0.15 to a profit of $0.16 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)