Gennum swings to Q3 loss
Canadian intellectual property company Gennum Corp swung to a third-quarter loss, hurt by a restructuring charge and reduced inventory levels at customers.
The company reported a net loss of $4.3 million, or 12 cents a share, compared with a net income of $6.4 million, or 18 cents a share, a year ago.
Gennum, which took a restructuring charge of $5.5 million in the quarter, said revenue fell 36 percent to $21.4 million.
Analysts on average were expecting a loss of 1 cent, before special items, on revenue of $21.3 million, according to Reuters Estimates.
Gross margin as a percentage of revenue in the third quarter was 69 percent, down from 76 percent last year.
Shares of Gennum closed at C$4.33 Wednesday on the Toronto Stock Exchange.
(Reporting by Amit Kumar in Bangalore; Editing by Pradeep)
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