PMC-Sierra Q2 Profit Misses Estimates; Announces Workforce Reduction

(RTTNews) - PMC-Sierra, Inc. (PMCS), the semiconductor and software solutions innovator transforming networks that connect, move and store big data, reported a second quarter GAAP net loss of $8.6 million or $0.04 per share, compared to a loss of $3.5 million or $0.02 per share, prior year. Non-GAAP net income in the second quarter of 2015 totaled $18.0 million or $0.09 per share.

On average, nine analysts polled by Thomson Reuters expected the company to report profit per share of $0.11 for the quarter. Analysts' estimates typically exclude special items.

Net revenues totaled $124.8 million, a decrease of 1.6 percent, compared to $126.8 million in the second quarter of 2014. Analysts expected revenue of $133.23 million for the quarter.

The company initiated steps to reduce spending across the organization by approximately 14 percent. This reorganization involves a reduction in force of approximately 200 employees worldwide and other reductions that are together expected to result in approximately $40 million per year in savings.