Applied Materials names new CEO amid disappointing Q3 results

Summary:There's good news and bad news today at the semiconductor giant.

semiconductor-chip-processor

It was a big day for Applied Materials with a leadership change that the tech manufacturing giant probably hoped overshadowed its third quarter earnings report.

See also: Dell reports decent Q2 earnings as company future still looks uncertain | Wal-Mart's Q2: 16 technology, operations and e-commerce takeaways

The board of directors at Applied Materials has promoted Gary E. Dickerson to serve as both president and chief executive officer, effective September 1.

Up until now, Dickerson has served as president of the company since Applied Materials acquired Varian Semiconductor Equipment Associates in 2011, where he was CEO.

Dickerson succeeds Michael R. Splinter, who will continue on with the company as its executive chairman of the Board of Directors, effective at the same time. Splinter has served as CEO since 2003.

No other reason was provided for the leadership shift in Thursday's announcement.

However, there was some bad news on deck for the Santa Clara, Calif.-based corporation.

The TFT LCD display maker reported a third quarter net loss of $168 million, or 14 cents per share (statement). Non-GAAP earnings were 18 cents per share on a revenue of $1.98 billlion.

But Wall Street was looking for earnings of at least 19 cents per share on a revenue of $2.06 billion.

Shares were down by approximately 2.3 percent in after-hours trading once the report hit the wires.

For the fourth quarter, analysts are expecting revenue of $2.14 billion with earnings of 21 cents per share.

Applied Materials projected revenue to remain flat sequentially with earnings expected to drop between only 16 and 20 cents per share.

Topics: Hardware, CXO, Processors, Tech Industry

About

Rachel King is a staff writer for CBS Interactive based in San Francisco, covering business and enterprise technology for ZDNet, CNET and SmartPlanet. She has previously worked for The Business Insider, FastCompany.com, CNN's San Francisco bureau and the U.S. Department of State. Rachel has also written for MainStreet.com, Irish Americ... Full Bio

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