Mentor Graphics tops its quarterly forecast, on pace for 1.1 billion year
Nov 29, 2012 (Menafn - The Oregonian - McClatchy-Tribune Information Services via COMTEX) --Mentor Graphics Corp. reported third-quarter sales and profits slightly ahead of its forecast this afternoon, and the Wilsonville company said it remains on track for a strong finish to the year.
Mentor makes software that engineers use to design semiconductors and other highly complex electronic systems. Demand for its products has risen in recent quarters as smaller computer chips necessitate more sophisticated design tools.
Sales in the quarter ended Oct. 31 totaled 268.8 million, up 7.3 percent from last year and nearly 4 million more than Mentor had told investors to expect.
Profits totaled 30.6 million, or 27 cents a share. That compares to 24.1 million, 22 cents a share, in the same quarter last year. Mentor had forecast third-quarter profits of 23 cents a share.
Mentor said it remains on pace for 1.1 billion in sales this fiscal year, its highest total ever, and annual profits of 1.22 a share.
Oregon's largest pure technology company, Mentor has roughly 1,000 employees at its Wilsonville headquarters just east of Interstate 5.
The company spent much of last year engaged in a soap operatic struggle with billionaire activist investor Carl Icahn, who wanted Mentor to reverse years of uneven performance by cutting costs or by selling its business.
As Mentor's sales and profits have climbed, though, the company's share price has risen and Icahn has stopped his public attacks. He remains the company's largest shareholder, with close to 15 percent of its stock.
Mentor shares climbed 19 cents today, 1.3 percent, to close at 14.79 before the company reported quarterly results. In the past year, the stock has traded between 12.21 and 17.37.
-- Mike Rogoway; twitter: @rogoway; phone: 503-294-7699
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