Revenues of the Norwood, Massachusetts-based tech firm moved up 3.6% annually to $1.59 billion, aided by a further strong growth in the demand for its products in the B2B market. Analysts had forecast a slower revenue growth. The industrial and communications sectors witnessed robust growth, adding to the overall sales.
Revenues increased 3.6%, aided by a further strong growth in the demand for the company’s products in the B2B market
“Our portfolio of innovative solutions, customer-centric approach, and disciplined operational execution drove high profitability and strong cash generation, allowing us to return more than $360 million to shareholders in the quarter,” said CEO Vincent Roche.
During the fourth quarter, the management returned about $364 million to shareholders through dividends and share repurchases. Meanwhile, the board of directors declared a cash dividend of $0.48 per share, to be paid on December 10, 2018, to all shareholders of record on November 29, 2018.
Encouraged by the strong results, the company currently forecasts its first-quarter adjusted earnings at $1.28 per share. The guidance for unadjusted earnings and revenues is $0.92 per share and $1.51 billion respectively. While the earnings outlook is below market expectations, the revenue forecast is in line.
In the past twelve months, Analog Devices shares declined about 4%. The stock closed the last trading session sharply lower but gained about 3% in early trading Tuesday.