Quarterly Highlights -- Net revenues grew 6 percent sequentially and 32 percent year-over-year to $40.7 million. -- Gross margin of 36.9 percent was up 50 basis points on a sequential basis and up 230 basis points year-over-year. -- Net income grew 13 percent sequentially and 95 percent year-over-year to $4.4 million.
Net revenues for the second quarter were
Operating expenses in the quarter were
Net income in the quarter was
"We delivered revenue at the high-end of our guidance, which was derived by demand for our high-speed serial protocol solutions for digital video, ultra mobility and high performance PCs and servers," said Alex, Hui, President and Chief Executive Officer. "Operating income increased 21.8% sequentially as a result of higher revenue, expanding margin and control of expenses.
"Our recent track record highlights the success of our previously stated growth initiatives. We believe our business is well positioned to continue capturing further share in high growth segments, within consumer, communications and computer vertical markets," concluded Hui.
New Products
Expanding our ultra mobility solution, Pericom launched two USB switches that respectively upgrade hand-held devices to support USB High Speed capability and combine USB High Speed and audio signals for new cell phones and MP3 players.
Expanding our solution for high-speed serial protocol, Pericom introduced a GreenPacket (TM) PCIe family of three packet switches available in industry's smallest BGA footprint and lowest power consumption for size and power sensitive applications in notebook PCs, video surveillance, networking and embedded markets.
Continuing our specialized timing solution, Pericom sampled a new low-power, low jitter series of spread-spectrum crystal oscillator modules in compact package for portable network applications, as well as a spread-spectrum clock generator for EMI-reduced video surveillance applications.
Share Repurchase Update
In
Fiscal Q3 Outlook
The following statements are based on current expectations. These statements are forward looking, and actual results may differ materially.
-- Revenues in the third fiscal quarter are expected to be in the range of $38.5 million to $40.7 million. -- Gross margins are expected to be in the 36 to 37 percent range. Margins are influenced by the product mix of turns business and sales, if any, of previously reserved inventory. -- Operating expenses are expected to be in the range of $9.8 to $10.0 million, which include stock-based compensation expense of approximately $0.6 million. -- Other income is expected to be approximately $1.4 million, consisting primarily of interest income. -- The effective tax rate is expected to be approximately 33 percent.
Conference Call
The press release will be followed by a conference call beginning at
A taped replay of the conference call will be made available for two days. To listen to the replay, dial (888) 203-1112 and reference conference number 5499455. The Pericom financial results conference call will be available via a live webcast on the investor relations section of the web site at http://www.pericom.com. Access the web site 15 minutes prior to the start of the call to download and install any necessary audio software. An archived webcast replay will be available on the web site for approximately 90 days.
About Pericom
Pericom Semiconductor Corporation (Nasdaq: PSEM) enables serial
connectivity with the industry's most complete solutions for the computing,
communications and consumer market segments. Pericom's analog, digital and
mixed-signal integrated circuits, along with its SaRonix-eCERA frequency
control products are essential in the timing, switching, bridging and
conditioning of high-speed signals required by today's ever-increasing speed
and bandwidth demanding applications. Company headquarters is in
This press release contains forward-looking statements as defined under
The Securities Litigation Reform Act of 1995. Forward-looking statements in
this release include the statements under the captions 'Fiscal Q3 Outlook',
which regard the anticipated revenues, gross margin, operating expenses, other
income and tax rate in the third fiscal quarter, and statements regarding
Pericom being well positioned to continue capturing further share in high
growth segments, within consumer, communications and computer vertical
markets. The Company's actual results could differ materially from what is
set forth in such forward-looking statements due to a variety of risk factors,
including softness in demand for our products, price erosion for certain of
our products, unexpected difficulties in developing new products, customer
decisions to reduce inventory, economic or financial difficulties experienced
by our customers, or technological and market changes. All forward-looking
statements included in this document are made as of the date hereof, based on
information available to the Company as of the date hereof, and Pericom
assumes no obligation to update any forward-looking statements. Parties
receiving this release are encouraged to review our annual report on Form 10-K
for the year ended
- See Attached Tables - Pericom Semiconductor Corporation Consolidated Statements of Operations (In thousands, except per share data) (unaudited) Three Months Ended Six Months Ended Dec 29 Sep 29 Dec 30 Dec 29 Dec 30 2007 2007 2006 2007 2006 Net revenues $40,726 $38,468 $30,842 $79,194 $61,668 Cost of revenues 25,694 24,467 20,176 50,161 40,570 Gross profit 15,032 14,001 10,666 29,033 21,098 Operating expenses: Research and development 4,278 4,082 4,040 8,360 7,982 Selling, general and administrative 5,786 5,839 4,919 11,625 10,714 Total 10,064 9,921 8,959 19,985 18,696 Income from operations 4,968 4,080 1,707 9,048 2,402 Interest and other income 1,622 1,370 1,151 2,992 2,431 Other than temporary decline in value of investment 0 0 0 0 (1) Income before income taxes 6,590 5,450 2,858 12,040 4,832 Income tax expense 2,344 1,691 691 4,035 1,311 Minority interest in (income) loss in consolidated subsidiary (19) 3 (21) (16) (30) Equity in income (loss) of investees 169 121 110 290 390 Net income $ 4,396 $ 3,883 $ 2,256 $ 8,279 $ 3,881 Basic income per share $ 0.17 $ 0.15 $ 0.09 $ 0.32 $ 0.15 Diluted income per share $ 0.16 $ 0.15 $ 0.08 $ 0.31 $ 0.15 Shares used in computing basic income 25,888 25,745 26,113 25,817 26,122 per share Shares used in computing diluted income per share 26,959 26,379 26,783 26,669 26,737 Pericom Semiconductor Corporation Condensed Consolidated Balance Sheets (In thousands) As of As of Dec 29, 2007 Jun 30, 2007 (unaudited) Assets Current Assets: Cash & cash equivalents $ 8,664 $ 29,173 Restricted cash - Short-term investments 105,828 42,268 Accounts receivable 25,459 19,621 Inventories 20,461 14,787 Prepaid expenses and other current assets 866 669 Deferred income taxes 3,666 4,280 Total current assets 164,944 110,798 Property and equipment, net 26,874 23,940 Investments in unconsolidated affiliates 9,963 9,619 Deferred income taxes-non current 5,522 5,572 Long-term investment in marketable securities 17,881 59,574 Goodwill 1,325 1,348 Intangible assets 1,222 1,311 Other assets 2,922 2,073 Total assets $230,653 $214,235 Liabilities and Shareholders' Equity Current liabilities: Accounts payable $16,153 $12,553 Accrued liabilities 9,786 8,718 Short-term and current portion of long-term debt 0 392 Total current liabilities 25,939 21,663 Long-term debt 0 388 Deferred tax liabilities 797 797 Other long-term liabilities 0 3 Minority interest in consolidated subsidiaries 1,018 906 Total liabilities 27,754 23,757 Shareholders' equity: Common stock 138,548 135,887 Retained earnings and other 64,351 54,591 Total shareholders' equity 202,899 190,478 Total liabilities and shareholders' equity $230,653 $214,235
SOURCE Pericom Semiconductor Corporation