Chipmaker Xilinx (XLNX) late Wednesday trounced Wall Street’s sales and earnings targets for its fiscal third quarter. Xilinx stock jumped in extended trading.
The San Jose, Calif.-based company earned an adjusted 92 cents a share on sales of $800 million in the quarter ended Dec. 29. Analysts expected Xilinx to earn 85 cents a share on sales of $770.5 million. On a year-over-year basis, earnings per share rose 42% while sales climbed 34%.
Xilinx stock soared 8.5%, near 97.20, in after-hours trading on the stock market today. During the regular session, it fell 1% to 89.55.
For the current quarter, Xilinx expects to generate revenue of $825 million, based on the midpoint of its guidance. Wall Street was looking for $775 million in the March quarter. Xilinx did not give a target for earnings per share.
Xilinx makes field-programmable gate arrays, systems on chip and other semiconductor products.
Touts Robust Revenue Growth, Strong Profitability
“Based on the guidance we are providing for the fiscal fourth quarter, we expect to exceed $3 billion in annual revenue for the first time in our history,” Xilinx Chief Executive Victor Peng said in a news release.
He added, “In addition to the robust revenue growth, we also demonstrated strong profitability by posting over 60% growth in non-GAAP operating income and over 40% growth in non-GAAP diluted earnings per share year over year.”
Xilinx’s performance was broad-based in the December quarter, Peng said. Communications chips posted the strongest growth, with revenue up 41% year over year. The company benefited from the deployment of 5G wireless networks in China, South Korea and North America.