Marvell Technology Group Ltd. (Nasdaq: MRVL) just got to pile on in the tech earnings warning carnage. The communications chip provider slashed its revenue projections in the quarter to $500 million to $520 million. This is a disaster, even considering the weakness seen elsewhere in PC’s and in communications equipment.
Marvell had previously forecast a range of $690 million to $730 million in revenues, or "only" a drop of 8% to 13% sequentially. This represents a sharp decline of 34% to 37% from net revenue of $791million reported for the immediately preceding quarter. That’s a drop of 38% to 41% on a year-over-year basisfrom $845 million.
The company blamed uncertainty over the durationof the global economic slowdown. The company sees a major decline in PC and consumer electronics markets. It gave noearnings targets, but said that it will continue to cut expenses. In short, job cuts and costs aremost likely headed its way.
Marvell closed up 0.8% at $6.21 in regular trading. Somehow shares areonly down about 1% in the initial after-hours reaction.
Jon C. Ogg
January 22, 2009
Take Charge of Your Retirement: Find the Right Financial Advisor For You in Minutes (Sponsor)
Retirement planning doesn’t have to feel overwhelming. The key is finding professional guidance—and we’ve made it easier than ever for you to connect with the right financial advisor for your unique needs.
Here’s how it works:
1️ Answer a Few Simple Questions
Tell us a bit about your goals and preferences—it only takes a few minutes!
2️ Get Your Top Advisor Matches
This tool matches you with qualified advisors who specialize in helping people like you achieve financial success.
3️ Choose Your Best Fit
Review their profiles, schedule an introductory meeting, and select the advisor who feels right for you.
Why wait? Start building the retirement you’ve always dreamed of. Click here to get started today!
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.