UPDATE: Applied Materials FQ1 Profit Down 71%

Applied Materials

reported a 71% drop in its fiscal first-quarter profit. Applied Materials' quarterly profit fell to $34 million, or $0.03 per share, from $117 million, or $0.09 per share, in the year-ago period. Excluding one-time items, its earnings declined to $0.06 from $0.18 per share. Its revenue fell 28% to $1.57 billion. Applied Materials in November expected earnings of break-even to $0.06 per share and revenue of $1.4 billion to $1.65 billion. Its gross margin rose to 37% from 35.9%. Applied Materials expects current-quarter earnings of $0.09 to $0.15 per share and revenue of $1.81 billion to $1.97 billion. However, analysts expected earnings of $0.11 per share on revenue of $1.8 billion. Applied Materials shares gained 2.76% to $14.15 in after-hours trading.