SanDisk third quarter net profit decline 28%eps exceeding expectation

Sina Science and technology news Beijing time October 21 morning, SanDisk announced today that because the growth of product sales can not compensate for the decline in authorized business, the company's third-quarter profit year-on-year decrease of 28%, but because of earnings per share than Wall Street expected, the shares still rose after 2.29%.　　Sandisk CEO Sanger Mehrotla (Sanjay Mehrotra) says Sandisk's demand in multiple markets is strong, and the growth of a lightweight notebook will benefit the company. SanDisk used to be a well-known memory card and USB flash drive manufacturer, but it is now mainly for smartphones, tablets and music players to sell memory chips.　　As the storage of songs, videos and other data on mobile devices grows, so does the demand for flash. Mehrotla said the new "Super Book" (Ultrabook) would also attract more manufacturers to use the company's solid-state drives. This trend is expected to boost SanDisk's solid-state drive revenue growth over the next two years. "We are focusing on the development of lightweight products and are expected to get a big boost from such operations next year," he said. "As consumer demand for flash electronic devices increases, SanDisk income has been growing for years.　　The company has just spent 327 million of dollars this year to buy the pliant Marvell, to enter the enterprise solid-state hard disk field. The company said it was not yet able to estimate the impact of the Thai floods on the company. Western data have just announced the temporary closure of a solid-state hard drive factory in Thailand.　　Some analysts believe that the solid-state drive will suffer a shortfall in supply. SanDisk in the third quarter to achieve profits of 233.3 million U.S. dollars, equivalent to 0.96 U.S. dollars per share, the same period last year, profits of 322.1 million U.S. dollars, earnings per share of 1.34 U.S. dollars. Earnings per share fell to $1.20 from last year's $1.30 trillion, excluding equity incentive spending, interest on debt and other items.　　Analysts had expected an average of 1.07 dollars. SanDisk in the third quarter to achieve operating income of 1.42 billion U.S. dollars, an increase of 15%. The company's guidance forecast for July this year is 1.375 billion to 1.425 billion dollars.　　Revenue from the lucrative licensing business fell 2% per cent year-on-year, but product sales rose by 28%. SanDisk's gross profit margin fell from 51.8% to 43.2% in the third quarter. Excluding special items, the company expects gross margins of around 42% to 44% for the fourth quarter. Excluding special items, the gross profit margin of the product is about 38% to 40%. (Ding macro) to share: