Applied Micro Circuits (NASDAQ:AMCC) yesterday morning warned that revenues for its fiscal fourth quarter ended March 31 would be down 8.5% from the December quarter, or about $70 million. The company had previously said revenue would be down 2%-5%.
Moreover, the company said that revenue for the June quarter would be down 15% sequentially from March, which implies revenue of about $60 million; the Street had been looking for $76.6 million.
Applied Micro says revenues in the latest quarter “declined in all business lines,” with sales to distributors down nearly 30% from the December quarter. The weak June outlook reflects “expected weakness in distribution, lower beginning backlog, lower projected non-recurring revenues and a decline in revenues from…a processor design ramp.”
Applied Micro has two primary businesses; it supplies PowerPC chips to networking equipment vendors, and it sells controllers used in high-performance, high-capacity storage systems.
Applied Micro shares yesterday were down 78 cents at $2.75.
AMCC 1-yr chart