Sector movers: Profit target miss injures ARM
Shares in ARM Holdings plunged after the chip designer expressed caution over the outlook for the semiconductor industry in 2008 and missed fourth quarter forecasts.
Pre-tax profit was unchanged at £21.3m in the quarter and fell to £86.7m in the full year from £90.1m last time. Revenue was also flat at £66m in the quarter but fell over the year from £263.3m to £259.2m. At constant currencies, annual sales would have been £279.9m.
"In the current uncertain macro-economic environment, and at this early stage in the year, we remain cautious on the outlook for the semiconductor industry for 2008," said the group.
"Although we remain cautious about the short term industry outlook, we expect ARM to deliver significant constant currency earnings growth in 2008 and believe the long-term growth opportunities for ARM are substantial," added chief executive Warren East.
Oil explorer Emerald Energy is wanted today after receiving permission from the Syrian authorities to develop the Khurbet East Field in Block 26. Emerald owns a 50% stake in Block 26 through its subsidiary, SNG Overseas.
Work on developing the field will start immediately with a view to establishing early production from the shallow Cretaceous Massive reservoir. The company is aiming to have an Early Production Facility capable of processing 10,000 barrels per day up and running by the end of 2008.
The company's share of the cost of setting up the first phase of development will be met from Emerald's existing cash flow.
The gross life-of-field Proved plus Probable Reserves of oil contained in the Massive Reservoir were estimated to be 65.6m barrels as at 31 December 2007.
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