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By Yasin Ebrahim
Investing.com - Marvell Technology reported better-than-expected fourth-quarter guidance after third-quarter results topped Wall Street estimates, led by strong performance in the chipmaker's data center business.
Marvell Technology (NASDAQ:MRVL) was up 11.21% in afterhours trading following the report.
Q3 EPS was 43 cents on revenue of $1.21 billion, topping estimates of 38 cents on revenue of $1.15 billion.
Revenue grew substantially in each of our five end markets, led by data center, our largest contributor at 41 percent of total revenue, which grew 15 percent sequentially and 109 percent year over year," said Matt Murphy, Marvell's President and CEO.
Looking ahead to Q4, EPS was guided in a range of 45 cents to 51 cents on revenue of $1.32 billion, give or take 3%. That compared with estimates for EPS of 42 cents on revenue of $1.21 billion.
"For the fourth quarter, we are expecting sequential revenue growth of 9 percent at the midpoint of guidance, led by 5G, which is projected to increase by 30 percent sequentially and data center which is forecasted to continue to grow in the double digits on a percentage basis," the company said.