Applied Materials shares sink on light forecast

Applied materials The shares sank more than 10 % in the trading on Thursday, as the semiconductor equipment company presented a look at the current quarter that appeared.

Here is how applied materials in their financial profits are in the third quarter in exchange for the estimates of the LSEG consensus:

• Arrow profits: $ 2.48, modified, for $ 2.36.
• profit: 7.3 billion dollars, compared to $ 7.22 billion.

The total revenue increased by 8 % in the quarter on an annual basis.

Applied materials said that she expects $ 2.11 per share in the profits of the current quarter, less than LSEG estimates of $ 2.39 per share. The company said to expect the revenue of $ 6.7 billion, compared to $ 7.34 billion.

CEO Gary Dicrson said the current macroeconomic and political environment “creates increased uncertainty and reduce vision.” He said that the company’s business in China is especially affected by the uncertainty.

The Trump administration tariff can weaken the price of imported chips, unless the companies they buy are committed to building in American applied materials that produce tools for the chips to make physical chips, many of which are currently happening in Asia.

Applied materials said that they have a large accumulation of export license requests suspended with the US government, but it is assumed that none of them will be issued in the next quarter.

“We expect a decrease in revenue in the fourth quarter led by both the digestion of the capacity in China and the non -linear demand from the main customers who gave the market concentration and the timing of the Burundian armed forces,” the company’s financing head said in a statement. He added that it is expected that China’s work will continue for several other quarters.

Applied materials mentioned 1.78 billion dollars of net income, or $ 2.22 per low -quarter share, compared to $ 1.71 billion or $ 2.05 in the period last year. Calculating the modified profits of the company for exceptions including elements related to integration, restructuring fees and separation, and weak assets and strategic investments.

The most important semiconductor systems of the company, the semiconductor systems, have reached $ 5.43 billion in sales, issued estimates, and represented a 10 % increase from last year.

It was applied materials to praise By the president Donald Trump Earlier this month after it was included in the Apple program to make more chips in the United States

Apple said it will participate with the chips maker to produce more manufacturing equipment in Austin, Texas.