By 
Marvell Technology Inc. shares fell in the extended session Thursday after the chip maker’s third-quarter forecast mostly fell short of Wall Street expectations as the company does not expect supply constraints to ease until the fourth quarter.
Marvell
MRVL,
+5.46%
shares fell 5% after hours, following a 5.5% climb in the regular session to close at $55.09. Shares are down 37% year-to-date, compared with a 25% fall by the PHLX Semiconductor Index
SOX,
+3.66%
and a 12% decline by the S&P 500 index
SPX,
+1.41%.
Marvell forecast adjusted earnings of 56 cents to 62 cents a share on revenue of $1.51 billion to $1.61 billion for the third quarter.
Analysts had estimated earnings of 61 cents a share on revenue of $1.58 billion for the third quarter.
That’s right on the heels of chip giant Nvidia Corp.
NVDA,
+4.01%
forecasting late Wednesday that third-quarter sales would likely fall about $1 billion short of Wall Street expectations.
Marvell reported second-quarter net income of $4.3 million, or a penny a share, versus a loss of $276.4 million, or 34 cents a share, in the year-ago period. Adjusted earnings, which exclude stock-based compensation expenses and other items, were 57 cents a share, compared with 34 cents a share in the year-ago period.
Revenue rose to $1.52 billion from $1.08 billion in the year-ago quarter.
Analysts surveyed by FactSet had forecast 56 cents a share on revenue of $1.52 billion, based on the company’s forecast of 53 cents to 59 cents a share on revenue of $1.47 billion to $1.56 billion.
“Looking ahead, we expect sequential revenue growth to accelerate in the fourth quarter as supply constraints begin to ease,” said Matt Murphy, Marvell chief executive, in a statement. “We believe we are well positioned to continue to benefit from our favorable end market exposure tied to strong secular growth trends and significant expected upcoming revenue contributions from a number of Marvell specific product ramps.”
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