Emcore Expects Q4 Revenues Of $23 Million
Emcore, a provider of compound semiconductor-based components and systems, has announced preliminary financial results for its fourth quarter ended September 30, 2015.
Revenue is expected to be approximately $23 million, compared to the company's previous expectation of $22 to $24 million in revenue for the same period and up from $21.2 million in the prior quarter. Gross margin is expected to be approximately 40 percent, compared to 36.3 percent in the prior quarter, with the increase primarily from favourable product mix and increased volume, according to the company. The higher gross margin will be partially offset by higher operating expenses, primarily due to increased legal and headcount costs.
"During the fourth quarter, we saw strong demand for our chip-level products, with shipments of our chips exceeding $4 million, up from approximately $2 million in the prior quarter," said Jeffrey Rittichier, president and CEO of Emcore. "In fiscal year 2015, we shipped more than $8 million of chips, up from zero in 2014."
Rittichier continued, "While we are pleased with our preliminary fourth quarter financial results and are encouraged about the long-term industry outlook, we remain cognizant of the dynamics in the CATV market and consolidation in the industry at both the OEM and MSO levels. This leads us to provide revenue guidance for Q1FY16 in the range of $22 to $24 million."