SanDisk Corp Beats Net Views, Boosts Buyback Program

SanDisk Corp.

posted a 40 percent drop in fourth-quarter net income but beat expectations by a small margin. The Milpitas, Calif., electronics company's shares changed hands in the extended session recently at $81.10 up $0.66 cents. SanDisk, which last week issued a profit warning for the period ended Dec. 28, also boosted its buyback program Wednesday by $2.5 billion, to a total of $3 billion. Chief Executive Sanjay Mehrotra said the company is "disappointed" by fourth quarter results, which were hurt by "supply constraints." But industry fundamentals are healthy, and "we expect our financial results to improve as we move through 2015," Mehorotra said. The company posted net income of $202 million, or $0.86 a share, compared with year-earlier profit of $338 million, or $1.45 a share. Revenue was flat at $1.74 billion and adjusted income equaled $1.30 a share. Wall Street expected adjusted profit of $1.27 a share on revenue of $1.73 billion.