Marvell Technology expects lower-than-expected revenue for the current quarter as weak demand for its chips used in third-generation mobile communication offset a rise in sales of its more profitable 4G LTE chips.
Shares of the company fell as much as 2.5% to $12.97 in after-market trading.
Marvell also took the brunt of weakness at its biggest customer Samsung Electronics.
Samsung's market share declined in July to September for the third straight quarter, lagging Apple in the premium market and overtaken by rivals such as Lenovo and Xiaomi at the bottom end, said research firm Strategy Analytics.
Marvell has been investing heavily in fourth-generation LTE chips (4G) to keep pace with the expansion of high-speed networks in China and the US.
The company forecast revenue of $880 million to $900 million for the fourth quarter, missing the average analyst estimate of $930.9 million, according to Thomson Reuters I/B/E/S.
Net income rose to $115 million, or 22 cents per share, in the third quarter ended 1 November, from $103 million, or 21 cents per share, a year earlier.
Excluding items, it earned 29 cents per share, in line with analysts' expectations.
Revenue fell marginally to $930.1 million, missing market estimate of $976.1 million, due to weaker mobile business and lower revenue from our networking business.
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