Novellus Systems posts $4 million loss in 3Q

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SAN JOSE, Calif. -Novellus Systems Inc., which makes equipment for producing computer chips, said Wednesday it lost $4 million in the third quarter amid a sharp downturn in sales.

The company said its loss came to 4 cents per share during the three months ended Sept. 26. That's compared with a profit of $1.4 million, or a penny per share, in the same period a year ago.

Excluding some one-time items, the company lost 3 cents per share. The items included restructuring charges related to consolidation at its manufacturing facility in Tualatin, Ore., and several tax-related gains.

Sales fell 29 percent to $176.9 million from $250.1 million.

Analysts polled by Thomson Reuters expected a loss of 4 cents per share on sales of $172.4 million. Such estimates typically exclude one-time items.

Chairman and CEO Richard Hill said customer order activity picked up during the quarter and pointed out that the company recorded a narrower loss than in the second quarter. He said the company's restructuring efforts were "starting to show results."

Shares gained 22 cents to $21.83 in after-hours trading. The stock lost 22 cents to close at $21.61 during regular trading.

2009-10-21 17:17:50