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What: Shares of Entropic Communications (NASDAQ:ENTR) dropped today by as much as 10% after the company announced earnings.

So what: Revenue in the fourth quarter came in at $89.7 million, leading to record annual sales of $321.7 million. Non-GAAP net income was $7.6 million, or $0.08 per share. The top line was a bit light relative to expectations, but earnings came in exactly as analysts were expecting.

Now what: Full-year adjusted earnings per share were $0.37. Entropic continues through its transition into a broad-based platform silicon company after acquisitions last year. CEO Patrick Henry said he expects 2013 to be a key year for the company's transition. It seems that the transition can't be completed soon enough for investors.

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