By Ben Glickman
Shares of Lam Research fell after the company reported a third consecutive quarter of falling sales, a trend it expects to continue.
The stock was down 5.2% to $609.01 in after-hours trading on Wednesday, and was 1.2% lower at the close. The shares are up 53% this year.
Lam Research said after the market closed that it is forecasting a decline in second-quarter results, and reported a drop in first-quarter profit and revenue from a year ago.
The Fremont, Calif.-based chip-making equipment provider’s shares were down despite posting results that surpassed analysts’ estimates. Revenue in the first quarter sank 31% to $3.48 billion, above the $3.42 billion expected by analysts.
Lam’s earnings have been dragged lower in recent quarters by a slump in the semiconductor industry.
Chief Executive Tim Archer said the company was seeing a “cyclically soft year” for customers’ spending on Lam’s equipment, but that the company was investing in future growth.
Write to Ben Glickman at [email protected]
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