Ingram Micro Beats (IM)

Ingram Micro Inc. IM reported better than expected fourth quarter earnings. The chip company reported earnings of 71 cents per share, 4 cents better Wall Street estimates. Revenues rose 12.1% from last year to $9.88 billion versus Wall Street estimates of $9.57 billion. "For the first quarter," said Spierkel, "we expect sales to follow a historical seasonal pattern, with a normal sequential decline and modest year-over-year growth. Gross margins are also expected to decline sequentially due to seasonality and competitive dynamics in certain markets. While we will continue to tightly manage expenses, they may fluctuate as we make strategic investments, increasing at approximately half the rate of sales for the full year." Shares of IM gained 2 cents to $20.78 in Thursday trading.