Analog Devices Q2 Profit Surges; Results Beat Estimates - Quick Facts

(RTTNews) - Analog Devices Inc. (ADI) on Wednesday reported a surge in profit for the second quarter from last year on strong revenue growth. Both revenue and adjusted earnings per share beat analysts' expectations.

The company's net income for the second quarter rose to $379.83 million or $1.01 per share from $93.56 million or $0.27 per share in the year-ago period.

Excluding items, adjusted earnings for the quarter were $1.45 per share, compared to $1.03 per share for the prior-year quarter.

On average, analysts polled by Thomson Reuters expected the company to report earnings of $1.38 per share for the quarter. Analysts' estimates typically exclude special items.

Revenue for the quarter grew 32 percent to $1.51 billion from $1.15 billion in the prior-year quarter. Analysts had a consensus revenue estimate of $1.47 billion.

"Our focused R&D investments, targeted at the most attractive markets, combined with strong business conditions this quarter drove revenue above the high-end of our guidance range. Revenue from our B2B markets increased double digits year-over-year led by our industrial and communications sectors," said Vincent Roche, President and CEO of Analog Devices.

Looking ahead to the third quarter, the company forecast reported earnings of $0.96 to $1.10 per share, adjusted earnings of $1.38 to $1.52 per share, and revenues of $1.47 billion to $1.55 billion. Analysts expect the company to earn $1.40 per share for the quarter on revenues of $1.49 billion.

The company's board of directors declared a quarterly cash dividend of $0.48 per outstanding share of common stock. The dividend will be paid on June 19, 2018 to all shareholders of record at the close of business on June 8, 2018.