3dfx Interactive Inc. (Nasdaq: TDFX) posted a second-quarter loss of $11.6 million, or 50 cents a share, on sales of $104.8 million Monday. Its shares closed off 3/8 to 14 3/8 ahead of the earnings report.
First Call consensus expected 3dfx to earn 4 cents a share in the quarter.
However, the $11.6 million loss includes the amortization of goodwill as well as a one-time charge for the write-off of in-process research and development associated with the mid-May merger with graphics-board maker STB Systems Inc.
Since 3dfx changed its fiscal calendar, analysts have been scrambling to accurately estimate the company's sales and earnings. In fact, 3dfx was unable to count millions of dollars in sales of its Voodoo3 boards since its merger with STB Systems didn't close until mid-May.
Last quarter, 3dfx missed analysts' estimates, losing $2.1 million, or 14 cents a share, on sales of $40.4 million.
In the year-ago quarter, it made $9 million, or 54 cents a share, on sales of $58.6 million.
"It is unfortunate that the merger with STB was not consummated until mid-May as opposed to the end of April as planned," said CEO Greg Ballard in a prepared release. "Despite this, we were still able to post record revenues for the quarter."
3dfx shares hit a 52-week high of 23 in April after falling to a low of 8 in September.
Five of the six analysts following the stock maintain either a "buy" or "strong buy" recommendation.