Fairchild Semiconductor 2Q Results: Postgame Scorecard

In the most recent quarter, Fairchild Semiconductor's (NYSE:FCS) sales and profit decreased.

Earnings and Revenue The company fell short of estimates with EPS of 9 cents a share and revenues of $361.5 million. Analysts were expecting EPS of 16 cents a share and revenues of $370.3 million. The company's reported EPS came in below the low estimate of 12 analysts of a profit of 12 cents.

The company's net income for the quarter fell 73.5% to $11.9 million. Revenue fell 16.6% from $433.2 million in the same period last year.

Company Fundamental Trends Revenue has fallen in at least each of the past four quarters.

History Against Expectations The company missed estimates last quarter after surpassing the mark the quarter before. It reported net income of 6 cents versus a mean estimate of net income of 4 cents per share.

Official Comment: "Gross margin increased nearly three percentage points sequentially due primarily to higher factory loadings and the favorable impact of our insurance recovery related to the flooding in Thailand," said Mark Frey, Fairchild's executive vice president and CFO. "R&D and SG&A expenses were $96.2 million which was in line with expectations. Free cash flow was a positive $32.4 million and benefited from working capital improvements and lower capital spending. We increased internal inventory dollars by about five percent sequentially to prepare for the expected ramp in mobile demand."

Estimates provided by Zacks Investment Research and company fundamentals from Xignite Financials.