MANHASSET, N.Y. Broadband communications semiconductor supplier Conexant Systems Inc. reported a GAAP net loss of $67.1 million, or 14 cents per share on sales of $251.6 million in its third fiscal quarter ended June 30. By comparison, Conexant lost $10.1 million, or 2 cents per share on sales of $242.6 million in the previous quarter.
Conexant (Newport Beach, Calif.) posted third fiscal quarter GAAP gross margin of 52.3 percent, up sequentially from 43.8 percent the previous quarter. Core operating margin was 10.1 percent, which the company was achieved two quarters ahead of schedule.
"In our fiscal third quarter, we once again exceeded our overall performance expectations," said Dwight Decker, Conexant chairman and chief executive, in a statement. "More importantly, we delivered on our highest priority goal, established 18 months ago, which was to return to double-digit core operating margins before the end of calendar 2006."
For its fourth fiscal 2006 quarter ending September, Conexant expects sales to be roughly flat to slightly down, with core net earnings to be 3 to 4 cents per share.