MILPITAS, Calif., Jan 04, 2005 /PRNewswire-FirstCall via COMTEX/
-- LSI Logic Corporation (NYSE: LSI) today raised its 2004 fourth quarter revenue and earnings per share guidance, led by growth of the company's Storage Systems, Storage Components and Consumer businesses.
LSI Logic expects to report 2004 fourth quarter revenues in the range of $415 million to $420 million, compared to the previously forecasted fourth quarter revenue range of $360 million to $390 million. The updated 2004 fourth quarter revenue range represents approximately 10 percent sequential revenue growth over the company's 2004 third quarter revenues of $380 million.
LSI Logic anticipates reporting a 2004 fourth quarter GAAP* net loss in the range of 53-55 cents per diluted share. The company earlier projected a GAAP net loss of 54-57 cents per diluted share. The GAAP projection includes the previously announced estimated $180 million non-cash, asset impairment charge associated with the company's Gresham manufacturing campus in the fourth quarter.
The company projects reporting 2004 fourth quarter net income, excluding special items**, in the range of a 1-3 cent profit per diluted share. The company earlier expected to report a net loss, excluding special items, in the range of 2-5 cents per diluted share.
LSI Logic expects 2004 fourth quarter gross margin in the range of 41-42 percent. The company earlier projected fourth quarter gross margin in the range of 41-43 percent.
"The growth of our Storage and Consumer businesses in the fourth quarter serves as a positive indicator that the inventory correction in the supply chain is substantially over in these two markets," said Wilfred J. Corrigan, LSI Logic chairman and chief executive officer. "Our Storage Systems subsidiary, Engenio Information Technologies, Inc., recorded a very strong fourth quarter. Our Storage Components business demonstrated broad strength through growth in storage ASICs, standard products and RAID storage adapters. Our Consumer business grew and inventory in our customer supply chain appears to be under control."
LSI Logic will not hold a conference call today about this news release. The company will report its 2004 and fourth quarter financial results, provide its 2005 first quarter business outlook and hold its quarterly conference call on Wednesday, January 26, 2005.
About LSI Logic
LSI Logic Corporation focuses on the design and production of high- performance semiconductors for Consumer, Communications and Storage applications that access, interconnect and store data, voice and video. LSI Logic engineers incorporate reusable, industry-standard intellectual property building blocks that serve as the heart of leading-edge systems. LSI Logic serves its global OEM, channel and distribution customers with Platform ASICs, standard-cell ASICs, standard products, host bus adapters, RAID controllers and software. In addition, the company supplies storage network solutions for the enterprise. LSI Logic is headquartered at 1621 Barber Lane, Milpitas, CA 95035. http://www.lsilogic.com
* Generally Accepted Accounting Principles
** Acquisition-related amortization, restructuring and other special items. SOURCE LSI Logic Corporation