Cree, Inc. announced unaudited consolidated earnings results for the second quarter and six months ended December 25, 2016. For the quarter, the company announced revenue from continuing operations was $347 million compared to revenue from continuing operations of $394 million in the second quarter of fiscal 2016. Loss from continuing operations for the second quarter of fiscal 2017 was $1 million, or $0.01 per diluted share, compared to income from continuing operations of $9 million or $0.09 per diluted share for the second quarter of 2016. On a non-GAAP basis, income from continuing operations for the second quarter of fiscal 2017 was $20 million, or $0.20 per diluted share, compared to non-GAAP income from continuing operations of $22 million or $0.21 per diluted share, for the second quarter of 2016. Operating income was $8,683,000 compared to $3,211,000 a year ago. Net income was $6,219,000 or $0.06 per diluted share compared to $13,442,000 or $0.13 per diluted share a year ago. Non-GAAP operating income was $25,288,000 compared to $25,031,000 a year ago. Non-GAAP net income was $29,935,000 or $0.30 per diluted share compared to $28,487,000 or $0.28 per diluted share a year ago. Cash flow from operations was $101,618,000 compared to $76,962,000 a year ago.

For the full year, the company reported revenue, net of $668,291,000 compared to $775,307,000 a year ago. Operating loss was $1,460,000 compared to $8,534,000 a year ago. Loss from continuing operations was $3,965,000 or $0.04 per diluted share compared to $16,324,000 or $0.16 per diluted share a year ago. Net income was $6,785,000 or $0.07 per diluted share compared to net loss of $11,047,000 or $0.11 per diluted share a year ago. Non-GAAP operating income was $34,438,000 compared to $43,756,000 a year ago. Non-GAAP income from continuing operations was $21,572,000 or $0.30 per diluted share compared to $29,361,000 or $0.37 per diluted share a year ago. Non-GAAP net income was $45,169,000 or $0.45 per diluted share compared to $51,425,000 or $0.50 per diluted share a year ago. Cash flow from operations was $119,716,000 compared to $123,796,000 a year ago.

The company reported impairment charges for the second quarter ended December 25, 2016. For the quarter, the company reported loss on disposal or impairment of long-lived assets of $530,000 compared to $2,015,000 a year ago.

For its third quarter of fiscal 2017 ending March 26, 2017, the company targets combined revenue, which includes both continuing and discontinued operations, in a range of $340 million to $370 million. Combined GAAP net income is targeted at a $1 million loss to $3 million income, or a $0.01 loss to $0.03 income per diluted share. Combined non-GAAP net income is targeted in a range of $10 million to $18 million, or $0.10 to $0.18 per diluted share. Targeted combined non-GAAP income excludes $23 million of pre-tax expenses related to stock-based compensation expense, the amortization or impairment of acquisition-related intangibles and transaction costs associated with the sale of the Wolfspeed business.