Xilinx Q2 Profit Down, But Tops View

(RTTNews) - Xilinx Inc. (XLNX) Wednesday reported a drop in profit for the second quarter, as revenues declined 13 percent. Earnings for the quarter trumped analysts estimates by a penny. Shares of the company gained about five percent in the after-hours trading.

San Jose, California-based Xilinx's second-quarter profit dropped to $127 million or $0.48 per share from $172 million or $0.62 per share last year. Analysts polled by Thomson Reuters estimated earnings of $0.47 per share for the quarter. Analysts' estimates typically exclude one-time items.

Revenues for the quarter dropped 13 percent to $528 million from $604 million last year. Analysts had a consensus revenue estimate of $529.58 million for the quarter.

"The quarter was characterized by solid profitability and strong new product growth. Sales performed as expected with increases from wired and wireless communications offsetting expected declines from defense," said CEO Moshe Gavrielov.

Looking forward to the fourth quarter, the company expects sales to be up 3 to 7 percent sequentially, including the impact of the extra fiscal week in the quarter.

Xilinx declared a quarterly dividend of $0.31 per share, payable on November 24 as of November 5.