April 28 (Reuters) – Chip-testing equipment maker Teradyne on Tuesday forecast a sequential decline in second-quarter revenue and adjusted profit, sending its shares down more than 8% in extended trading.
The forecast comes as Teradyne’s first-quarter revenue jumped 87% from a year earlier, driven by strong demand for its equipment used to test high-performance semiconductors for the artificial intelligence market.
• Teradyne sees second-quarter revenue in the range of $1.15 billion to $1.25 billion, the midpoint of which is lower than its first-quarter revenue of $1.28 billion.
• The company expects second-quarter adjusted earnings between $1.86 and $2.15 per diluted share, lower than the $2.56 per share posted for the first quarter.
• Teradyne’s core business is providing ATE to the world’s largest chipmakers, making it highly sensitive to the cycles of the semiconductor industry. The company has a significant exposure to the smartphone market, with Apple being a major customer.
• Its shares have risen 83% so far this year.
• Teradyne earlier this month announced the acquisition of TestInsight, which provides semiconductor test development, validation and conversion software.
(Reporting by Juby Babu in Mexico City; Editing by Jonathan Ananda)
