Cree, Inc.(NASDAQ:CREE), the maker of LED lighting, has posted mixed results for its first quarter ended September 23. It earned revenue of $315.8 million in this period, an increase of 17 percent from the first quarter last year. Sequentially, the revenue rose 3 percent. Analysts had expected revenue of $317.9 million for the period. The company’s non-GAAP earnings were 27 cents a share, slightly higher than analysts’ estimates.
“We started the year strong in our fiscal first quarter with record revenue and non-GAAP earnings per share at the high end of our target range,” said CEO Chuck Swoboda in a statement. “Overall company backlog is stronger than it was at this point last quarter, although visibility is still limited and the macroeconomic environment remains a headwind. Our results are beginning to demonstrate the enormous leverage we have in our fully integrated vertical lighting model.”
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For the second quarter, the company sees revenues in the range of $320 million and $340 million. Analysts expect revenue to be $333.6 million. Cree sees non-GAAP profits of 27 cents to 31 cents a share compared to Street estimates of 30 cents.
Cree shares rose $2.84 or 10.85 percent to $29.05 in the morning session.
Netflix expanding into Sweden
Netflix, Inc.(NASDAQ:NFLX) is starting a streaming only service in Sweden. This is part of its international growth strategy after the problems faced by the company when it split its DVD and streaming services in the U.S.
The company has said that the debt crisis in Europe is not likely to affect its business. In August, the company had said that it would foray into new territory, although details were not disclosed then.
Netflix has to brace for reactions from rivals. Sweden based Viaplay which offers on demand streaming has already lowered its subscription price. Time Warner, on the other hand, plans to offer HBOGo in Scandinavian countries.
Netflix will be partnering with Spotify, the Swedish music service.
Shares of NFLX were up 1.02% to $66.73 after surging over 1% in the prior session.