Shares of Semtech Inc. rose three percent on Thursday, a day after the chipmaker reported that its second-quarter net income rose 29 percent on increased sales, beating analyst expectations.

Camarillo-based Semtech reported after Wednesday’s market close that it earned $11.7 million, or 19 cents per share, during the three months ended July 27. That compared with net income of $9 million, or 13 cents, for the same period a year ago. Revenue for the period rose 16 percent to $78 million, in line with analyst projections.

Excluding expenses for employee stock compensation and one-time items, Semtech said it would have made 25 cents per share, which was two cents above the average of analysts surveyed by Thomson Reuters.

Semtech’s chips manage power and protect circuits in computers, cell phones and other high-tech consumer products. Those sales comprise about 39 percent of its business. The company also makes chips for military, medical and industrial equipment, which accounted for 27 percent of total revenues in the quarter.

Semtech gave third-quarter guidance for earnings of 23 cents to 25 cents per share, but Chief Financial Officer Emeka Chukwi warned during a conference call with analysts that a fire last month at its Mexico plant could lower results by as much as two cents per share. Analysts earlier had been expecting 25 cents a share on average in the current quarter.

Semtech shares were up 40 cents, almost three percent, to $15.45 in Thursday morning trading on the Nasdaq.