Inphi Corporation (IPHI) swung to a net profit for the quarter ended Sep. 30, 2016. The company has made a net profit of $79.57 million, or $ 1.80 a share in the quarter, against a net loss of $1.10 million, or $0.03 a share in the last year period. On the other hand, adjusted net income for the quarter stood at $20.59 million, or $0.46 a share compared with $8.70 million or $0.21 a share, a year ago.

Revenue during the quarter surged 49.33 percent to $70.75 million from $47.38 million in the previous year period. Gross margin for the quarter expanded 324 basis points over the previous year period to 68.11 percent. Operating margin for the quarter period stood at positive 14.48 percent as compared to a negative 3.56 percent for the previous year period.

Operating income for the quarter was $10.24 million, compared with an operating loss of $1.69 million in the previous year period.

"We are very pleased that Q3 revenue and earnings exceeded expectations, and that we are guiding for a strong fourth quarter," said Ford Tamer, president and chief executive officer of Inphi." We believe that our strategic acquisition of ClariPhy will position us as one of the most comprehensive component suppliers across an exciting and growing optical networking market. We believe the product portfolio of our combined companies will enable us to better support our service provider and cloud customers."

For the fourth-quarter, Inphi Corporation forecasts revenue to be in the range of $74.70 million to $76.70 million. It projects net income to be in the range of $4 million to $5.10. The company expects adjusted net income to be in the range of $19.40 million to $20.50 million. The company expects diluted earnings per share to be in the range of $0.09 to $0.11. On an adjusted basis, the company expects diluted earnings per share to be in the range of $0.44 to $0.46.