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What:International Rectifier (NYS: IRF) dropped 24% in intraday trading today after issuing a disappointing earnings report and outlook.
So what: Non-GAAP EPS of $0.37 dropped 10% year over year and fell well short of the $0.51 consensus estimate. GAAP EPS of $0.55 reflected an atypical tax benefit and fell from $0.69 in the year-earlier quarter. Revenue of $317 million grew 20% year over year.
Now what: For the current quarter, management said it expects revenue of $290 million to $310 million, below the consensus forecast of $320 million, and growth of only 3% to 10% year over year. The CEO stated that, "While the current environment may be uncertain, we believe we are in the right markets with the right technologies and are confident in our long-term growth potential." In other words, results may stink in coming quarters, but eventually the company should grow again.
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At the time thisarticle was published Fool contributor Cindy Johnson does not own shares of any company named above. We Fools may not all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. The Motley Fool has adisclosure policy.
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