Shares in ParthusCeva slumped to record lows yesterday following the publication of its fourth-quarter and full-year results and cautious guidance for 2003.
The firm, which was formed from the merger of Dublin-based Parthus and the Ceva division of DSP Group, reported a net loss of $24.4 million and revenues of $5.7 million for the fourth quarter.
Operating expenses were $28.5 million during the quarter and this included a $15.8 million write off of R&D and a $6.4 million restructuring charge.
The date of ParthusCeva's merger completion means the results include three months of Ceva and two months of Parthus.
Mr Barry Dixon, analyst with Davy Stockbrokers, said the results were highlighted previously and the shares were reacting negatively due to a cautious outlook given by the firm.
Late last year ParthusCeva said it revenues would be $40-$46 million next year, significantly lower than the $75-$80 million previously forecast by the firm.
However, Mr Dixon said the firm's plan to release new integrated products this year was positive for the second half of 2003.
ParthusCeva also announced a deal with another Nasdaq listed technology firm, Cirrus Logic, to co-develop chips targeted at the home entertainment sector.
Shares in ParthusCeva closed down 24 cents at $4.10 on the Nasdaq last night. The shares began trading on the Nasdaq at levels above $7.
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