Shares in Applied Materials rose in after-hours trading today, despite the electronics company revealing a fall in net sales and net income for its first quarter of 2016.
The firm, which supplies chip equipment to several of the world's largest tech firms, reported net sales for the quarter ended January 2016 of $2.3bn (£1.6bn), down four per cent from $2.4bn for the same period the year before, and net income of $286m, down 18 per cent from $348m.
The electronics company also saw its levels of new orders remain static compared with the year before at $2.3bn.
However, share price in the company, which closed at $17.17, surged upwards in after-hours trading, rising by seven per cent to $18.37.
The company is more positive about the rest of the financial year, forecasting net sales growth of between five and 10 per cent sequentially for the second quarter.
"As the market moves into the sweet spot for Applied's materials engineering technology, we see strong demand for our semiconductor, display and service businesses," said Gary Dickerson, the company's president and chief executive. "We are maintaining a positive outlook for 2016 as our customers make strategic, inflection-driven investments that play to our strengths."