SAN JOSE, CALIF. (AP) - Fairchild Semiconductor International Inc. on Thursday posted a first-quarter loss on a drop in sales and hefty restructuring charges.
But the San Jose, Calif.-based chip maker beat analyst estimates, and its shares climbed 31 cents, or 6.5 percent, to $5.06 in morning trading.
Fairchild recorded a loss of $51.1 million, or 41 cents per share, compared with a profit of $17.1 million, or 14 cents per share, for the same quarter last year.
The recent quarter’s results included a $6.7 million charge for restructuring and impairments.
Excluding restructuring, amortization, impairments and other charges, Fairchild posted an adjusted loss of $40.1 million, or 32 cents per share, compared with an adjusted profit of $23.2 million, or 19 cents per share, in the 2008 quarter.
Sales dropped 45 percent to $223.3 million from $406.3 million.
Analysts polled by Thomson Reuters expected a loss of 34 cents per share on $235.1 million in revenue. Analysts’ estimates usually exclude one-time items.
Fairchild said the sales decline covered all of its end markets, but order rates improved during the first two weeks of the second quarter, allowing the company to increase its backlog.
Last month, the company announced plans to shutter a plant in Mountaintop, Pa., and eliminate 200 jobs. The company also has temporarily idled plants over the past several months to bring its inventory in line with demand.
Fairchild said it expects to record about $15 million in charges during the second quarter related to its cost-cutting actions.