RFMD Provides Quarterly Financial Update; Sees December Quarter Revenue of $225M
RF Micro Devices, Inc. (Nasdaq: RFMD) today provided a quarterly financial update for its third fiscal quarter, ended December 31, 2011.
RFMD's revenue for the December 2011 quarter was approximately $225 million. In RFMD's Cellular Products Group, revenue was approximately $179 million, as sales of 2G components to China-based customers for entry-level handsets were below expectations. In RFMD's Multi-Market Products Group, revenue was approximately $46 million, reflecting broad weakness in MPG's end markets.
The Company noted customer demand softened during the December quarter, with end-of-quarter 2G demand significantly below customer forecasts. RFMD expects gross margin for the December 2011 quarter will decline approximately 9 points sequentially, due to the lower revenue, lower factory utilization, and inventory reserves.
