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Shares of Cirrus Logic (NASDAQ:CRUS) fell as much as 8.3% after the closing bell, as investors reacted to Cirrus' third-quarter earnings report.

Cirrus actually beat estimates on both the top and bottom lines in the third quarter. The designer of digital audio processors and power controllers reported $218.8 million in net sales, a 30% drop year over year. Bracing for the impact, analysts were expecting $213.3 million.

On the bottom line, $0.89 of non-GAAP earnings per share was 46% below the year-ago period. Wall Street analysts would have settled for $0.77 per share.

But management's outlook for the quarter in progress triggered the big selling action. Cirrus expects about $140 million in total revenue, while analysts were expecting roughly $174 million.

Chip orders are coming in light for the coming quarter, driven lower as key customer Apple (NASDAQ:AAPL) struggles with soft unit growth in its iPhone line. Cirrus provides audio chips for these handsets, and Apple stood for 82% of the company's sales in fiscal year 2012. When Apple struggles or soars, Cirrus follows close behind.

Cirrus CEO Jason Rhode hopes to overcome this dry spell with a raft of new product wins, though the strategy will take some time. "We look to capitalize on strategic opportunities in audio with new and existing customers, especially the growing trend of voice as a powerful interface to a wide variety of devices," he said in a press statement. "We anticipate these products will contribute to future revenue growth as early as calendar year 2015."

Anders Bylund has no position in any stocks mentioned. The Motley Fool recommends Apple and owns shares of Apple and Cirrus Logic. Try any of our Foolish newsletter services free for 30 days.

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