By Dean Seal
ON Semiconductor, the maker of intelligent sensing and power services, reported a smaller profit in the fourth quarter as margins slipped on a lower base of revenue. However, both top and bottom lines exceeded analyst projections.
Profit and Earnings Figures
In the same quarter a year ago, ON Semiconductor posted a profit of $604.3 million, or $1.35 a share. In the fourth quarter of the current year, the profit declined to $562.7 million, or $1.28 a share.
The adjusted earnings, excluding one-time items, amounted to $1.25 a share, surpassing the consensus estimate of $1.20 a share according to FactSet.
Revenue Decline
Quarterly revenue for ON Semiconductor decreased to $2.02 billion from $2.1 billion compared to the previous year. Analysts surveyed by FactSet had predicted flat revenue of $2 billion.
Future Outlook
For the current quarter, ON Semiconductor is guiding for earnings of 94 cents to $1.06 a share on revenue of $1.8 billion to $1.9 billion. The revenue outlook is slightly below current analyst forecasts for the quarter. Adjusted earnings for the first quarter are expected to range from 98 cents to $1.10 a share. Analysts have forecasted $1.10 a share, as per FactSet data.
