National Semiconductor Reports Third-Quarter Earnings

March 11, 2001 by Jeff Shepard

National Semiconductor Corp. (Santa Clara, CA) announced that its third-quarter earnings beat Wall Street's expectations. However, the company considerably lowered its estimates for the fourth quarter.

For the quarter ended February 25, 2001, National Semiconductor reported net income of $39.2 million, or $0.21 per share, on $475.6 million in sales. This compares with earnings of $327 million, or $1.68 per share, on sales of $548.9 million in the year-ago quarter. Excluding an acquisition-related charge, the company earned $48.9 million, or $0.25 per share.

The company noted that the overall semiconductor market is weak, especially for PCs and wireless devices. According to the company, fourth-quarter sales are expected to drop 10 percent from the fourth quarter, possibly leading to earnings of between $0.03 and $0.05 per share.