SAN FRANCISCO (AP) — Shares of RF Micro Devices Inc. fell about 16 percent in after-hours trading Thursday after the chip maker said its revenue for the quarter that ended in December was lower than earlier forecast, due mainly to lower demand for some of its cellular chips.
RF Micro, which is based in Greensboro, N.C., said its revenue for the fiscal third quarter totaled about $225 million.
In October, the company predicted revenue of $250 million for the quarter. Analysts polled by FactSet had been expecting $250 million, on average.
The company said its cellular products revenue totaled $179 million since sales of chips that it sells to customers in China for low-end phones were lower than it expected. Revenue in RF Micro's multi-market products group — which includes chips for wireless, broadband, aerospace and defense and other uses — totaled $46 million due to general economic weakness in the markets that unit sells to.
The company plans to report its quarterly results on Jan. 24.
Looking at the fiscal first quarter, which ends in March, RFMD said in a statement that it expects "normal seasonality" in the handset market and the markets that its multi-market products group caters to.
Shares of RF Micro, which is based in Greensboro, N.C., fell 89 cents, or 15.8 percent, to $4.75 in after-hours trading. During regular trading, the stock rose 17 cents, or 3.1 percent, to close at $5.64.