Electronic equipment maker Keysight Technologies beat third-quarter revenue and profit estimates on Tuesday, on securing higher orders, sending its shares up 12% in aftermarket trading.
Keysight provides electronic design, testing and software products such as oscilloscopes and network emulators used in radar and signal monitoring equipment, satellites and space programs, as well as commercial and military aircraft.
Orders for the quarter, ended July 31, rose to $1.25 billion from $1.24 billion a year ago, amid persisting macroeconomic pressures weighing on demand from manufacturing end-markets.
"The funnel of opportunities supports our outlook for second half orders to be above first half orders, followed by a more gradual recovery in 2025, barring any further macroeconomic degradation," CEO Satish Dhanasekaran said.
Quarterly revenue for the company fell nearly 12% to $1.22 billion, but above analysts' estimate of $1.19 billion, according to LSEG data.
Despite the year-on-year revenue declines in both of its segments, communications- and electronic industrial-solutions, Keysight's quarterly revenue was higher than its forecast range of $1.18 billion to $1.20 billion.
The company posted quarterly adjusted profit of $1.57 per share, compared to the LSEG estimate of $1.54 per share. It had forecast adjusted earnings for the quarter to range from $1.30 to $1.36 per share.
The California-based company expects fourth-quarter revenue to range from $1.245 billion to $1.265 billion, compared with estimates of $1.250 billion, according to LSEG data.
Keysight sees fourth quarter adjusted earnings ranging between $1.53 and $1.59 per share, compared with estimates of $1.54 per share.
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