Analog Devices' Results Beat Expectations; Dividend And Stock Buyback Program Increased

Analog Devices Inc. reported a fiscal first-quarter profit that declined to $164.5 million, or 52 cents a share, from $178.8 million, or 57 cents a share, in the same period a year ago. Excluding non-recurring items, adjusted earnings per share came to 56 cents, beating the FactSet consensus of 54 cents. Revenue for the quarter ended Jan. 30 slipped to $769.4 million from $772 million, but was above the FactSet consensus of $761 million. For the fiscal second quarter, the semiconductor company expects adjusted EPS of 58 cents to 66 cents, compared with the FactSet consensus of 65 cents. Revenue is expected to decline 2% or increase 4% from the first quarter, while the FactSet consensus of $801 million implies a 4.1% sequential increase. The company raised its quarterly dividend by 5% to 42 cents a share, to be payable March 8 to shareholders of record on Feb. 26. The company boosted its stock repurchase program by $1 billion. The stock, which was still inactive in premarket trade, has lost 12% over the past three months, while the S&P 500 has slipped 7.6%.