Cree Inc. beats 1Q earnings, revenue estimates

posted: 37 DAYS 20 HOURS AGO

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DURHAM, N.C. -LED lighting manufacturer Cree Inc. posted first-quarter earnings and revenue well above Wall Street expectations Tuesday, and forecast strong second-quarter results.

Shares rose $1.24, or 3 percent to $42.45 in aftermarket electronic trading, having closed earlier up a nickel at $41.16.

The Durham, N.C., company reported net income of $21 million, or 23 cents per share, on $169.1 million in revenue for its fiscal 2010 first quarter, ended Sept. 27. That's up from net income of $5.9 million, or 7 cents per share, on $140.4 million in revenue in the same period a year ago.

Excluding special items, Cree earned 30 cents per share in the latest quarter, up from 15 cents a year earlier.

Wall Street on average had expected the company to earn 22 cents per share on $164.5 million in revenue for the period, according to analysts polled by Thomson Reuters.

"We are benefitting from continued LED lighting adoption and high factory utilization and are well positioned for solid growth in Q2," said Chairman and CEO Chuck Swoboda, in a statement.

Looking ahead, Cree said it expects second-quarter earnings of $21 million to $23 million, or 20 to 22 cents per share, on revenue of $180 million to $190 million. Excluding special items, the company projects earnings of 28 cents to 30 cents per share for the quarter, which ends Dec. 27.

Analysts, on average, predict quarterly profit of 23 cents per share on revenue of $173.2 million.

Cree makes light emitting diode products, including LED fixtures and bulbs, blue and green LED chips for backlighting, power-switching devices and radio-frequency/wireless devices.

2009-10-20 18:01:06