Applied Materials beats estimates, shares rise

World's largest chip equipment maker narrows loss, sending stock up 1.6%.

EMAIL  |   PRINT  |   SHARE  |   RSS
 
google my aol my msn my yahoo! netvibes
Paste this link into your favorite RSS desktop reader
See all CNNMoney.com RSS FEEDS (close)

No power outlet? No problem
Unplug your adventures with off-the-grid gadgets.
When do you think the economy will improve?
  • In the next few months
  • In six months to a year
  • In a year or more
  • It's already on the mend

SAN FRANCISCO (Reuters) -- The world's largest chip equipment maker, Applied Materials Inc., sharply narrowed its quarterly loss on better-than-expected revenue Tuesday, thanks to a strong jump in new orders and deep cost cuts, sending its shares up 1.6%.

Applied Materials (AMAT, Fortune 500), whose competitors include No. 2 chip equipment maker Tokyo Electron Ltd .and (TOELF) KLA Tencor Corp. (KLAC) , reported its third consecutive net loss in the third quarter ended July 26 of $55 million, or 4 cents a share.

That is down from a profit of $164.77 million, or 12 cents a share, a year earlier.

Excluding certain items, the company reported a loss of $2 million, or near break-even on a per-share basis, versus a profit of $228 million, or 17 cents a share, a year ago.

Revenue fell 38.9% from a year ago to $1.13 billion from $1.85 billion, but came in above expectations for $953.06 million.

Shares of Santa Clara, Calif.-based Applied Materials rose 1.6% in after-hours trading after closing down 1.86% at $13.22 on Nasdaq. To top of page

Features
They're hiring!These Fortune 100 employers have at least 350 openings each. What are they looking for in a new hire? More
If the Fortune 500 were a country...It would be the world's second-biggest economy. See how big companies' sales stack up against GDP over the past decade. More
Sponsored By:
More Galleries
8 must-have travel apps Whether you've got wanderlust or an airline grievance, here are some apps to pack onto your phone. More
Hot stocks: 10 record breaking companies The S&P 500 is trading at all-time highs, and many well-known businesses are leading the charge. Time to buy or sell? More
My biggest retirement mistake Five CNNMoney readers share stories about saving that you can learn from. What they would do differently if they had another chance. More
Worry about the hackers you don't know 
Crime syndicates and government organizations pose a much greater cyber threat than renegade hacker groups like Anonymous. Play
GE CEO: Bringing jobs back to the U.S. 
Jeff Immelt says the U.S. is a cost competitive market for advanced manufacturing and that GE is bringing jobs back from Mexico. Play
Hamster wheel and wedgie-powered transit 
Red Bull Creation challenges hackers and engineers to invent new modes of transportation. Play

Copyright 2009 Reuters All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.