While its Q3 results were nearly in-line, Pixelworks (NASDAQ:PXLW) guided on its CC (transcript) for Q4 revenue of $14M-$16M and EPS of -$0.11 to -$0.21, below a consensus of $18.6M and $0.02.
Digital projection chip sales rose 34% Q/Q in Q3 to $14.9M due to the ramping of sales of both new and older platforms, but TV/panel chip sales fell 44% due to "inventory adjustments at certain customers." CEO Bruce Walicek adds TV segment customers are "moderating and managing their inventories a little more carefully just going into the end of the year."
The SoC Pixelworks has been creating for large-screen applications through a co-development agreement "ramped into high-volume production," and is expected to "drive significant year-on-year growth in 2015" for Pixelworks' large-screen chip business. The first chip for the company's Iris mobile video processor line began sampling.
Gross margin fell to 50.4% from 51% in Q2 and 61.6% a year ago (a mix shift away from licensing). Q4 GM guidance is at 48%-50%. Opex rose 7% Y/Y to $9.3M; Q4 guidance is at $8.5M-$9.5M.
In response to Senator Patrick Leahy's letter last week urging top ISPs to not enter "paid prioritization" deals, Comcast (NASDAQ:CMCSA) and AT&T (NYSE:T) say they have no plans to create the Internet "fast lanes" which would hurt consumers' freedom to roam the Web.
Verizon (NYSE:VZ) published its response to Leahy on Wednesday, also asserting that it has no plans for "fast lanes".
The pledges come after the FCC proposed its "net neutrality" rules that prohibit ISPs from blocking content, but suggests allowing some "commercially reasonable" paid prioritization deals.
Trimble (NASDAQ:TRMB) expects Q4 revenue of $560M-$590M and EPS of $0.26-$0.32, well below a consensus of $638M and $0.41.
CEO Steven Berglund, discussing Trimble's Q3: "While we recorded a year-over-year increase in revenue, the quarter was unimpressive. Our results in agriculture and Europe were both weaker than we originally anticipated."
Imperva (NYSE:IMPV) expects Q4 revenue of $48.6M-$50.6M and EPS of -$0.02 to -$0.07, favorable at the midpoints to a consensus of $48.8M and -$0.07.
A 36% Y/Y increase in services revenue (54% of total revenue) to $23M fueled the Q3 beat. Within services, subscription revenue rose 108% to $6.4M. Palo Alto Networks, FireEye, and several other security tech names have also been seeing strong subscription growth.
$100K+ deals rose to 106 from 97 a year ago, and new customers to 183 from 148.
Shares have now nearly doubled from their spring lows. They remain down over 50% from a March high of $67.12.