Broadcom Corp., the biggest maker of chips for television set-top boxes, increased its fourth-quarter revenue projection to about $1.9 billion, the top end of an earlier forecast range.
Product gross margin, the percentage of sales remaining after deducting the cost of production, will be down slightly because of warranty and obsolete charges, Irvine, California-based Broadcom said today in a statement. Expenses excluding some items will climb $20 million to $30 million.
Broadcom is making inroads in the mobile-phone market, supplying radio chips for handsets from Samsung Electronics Co. and Nokia Oyj. The company also makes the Wi-Fi, Bluetooth and global-positioning-system chips in Apple Inc. products, including the iPhone, according to ISuppli Corp.
The revenue forecast would represent growth of more than 40 percent from a year earlier. Analysts had estimated sales of $1.85 billion on average, according to data compiled by Bloomberg.
Broadcom was little changed in late trading. The shares, up 43 percent this year, fell 72 cents to $44.98 today in Nasdaq Stock Market trading.