Touch-screen maker Synaptics' 3Q profit grows
Synaptics Inc. said Thursday that profit in its most recent quarter more than tripled as demand grew for its touch screens for mobile devices and it got a boost from a tax benefit.
The company's results and sales outlook topped Wall Street expectations. Shares rose 18 percent in aftermarket trading.
Net income in the fiscal third quarter came to $36.4 million, or $1.07 per share. In the January-March period in 2012, profit was $11.4 million, or 33 cents per share.
A big chunk of its profit increase came from a $15.8 million tax benefit. Stripping out that and other one-time items, earnings rose to 79 cents per share from 51 cents per share.
Revenue rose 24 percent, to $163.3 million from $131.7 million, on gains in both its mobile and personal computer businesses.
Analysts polled by FactSet were expecting the company to earn 57 cents per share on revenue of $144.6 million.
Revenue in its mobile business rose 57 percent, while revenue from PCs fell 10 percent. Nearly two-thirds of Synaptics' revenue came from the mobile division.
The Santa Clara, Calif. company forecast revenue between $190 million to $205 million for the current quarter, which ends in June. Analysts were anticipating revenue of $157.6 million.
Synaptics' stock fell $1.02 to close regular trading at $38.54. Shares rose 18 percent to $45.32 in after-hours trading. The stock has risen 18 percent in the past 12 months.