Broadcom Corp. (BRCM-NASDAQ) expects first-quarter revenue of between $890 million and $900 million, according to acting Chief Financial Officer Bruce Kiddoo in a conference call after earnings. Wall Street is expecting $900 million in revenues. Shares are still up, but are now up 1.25% at $34.08 after-hours.
Here is what was posted after earnings:
Broadcom (BRCM-NASDAQ): Net revenuefor the fourth quarter of 2006 was $923.5 million, an increase of 2.3%sequentially and 12.5% year over year. GAAP net income was $45.1M and$0.08 EPS, but non-GAAP was was $184.9 million, or $0.31 EPS. Thestreet was expecting $0.31 EPS and $910M+ in revenues (non-GAAP).
BRCM also announced it would spend $1 Billion in share buybacks.The absolute best news in this is the Non-News. There is absolutely nocomment about not being able to show results because of optionsinquiries on back-dating, hence why I said ‘clean’ earnings. Sincethere is no guidance, the street is taking the cautious stance untilafter it is discussed in the conference call.
The company’s cash, cash equivalents and marketable securities atDecember 31, 2006 totaled a record $2.8 billion. So far shares upmarginally up 0.5% at $33.85 in after-hours. Shares closed up 0.5% innormal trading ahead of earnings. The 52-week range is $21.98 to$50.00, so it has seen some real highs and lows.
"The year 2006 exemplified the ever-changing nature of thesemiconductor industry, as strength in the first half of the year wasfollowed by a slowdown in the second. However, on the whole, 2006turned out to be a very good year for Broadcom as we increased ourrevenue by 37% and increased our cash and marketable securities by morethan $900 million," said Scott A. McGregor, Broadcom’s President andCEO.
Jon C. Ogg
February 8, 2007
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