Semtech Announces First Quarter Results.CAMARILLO Camarillo (kă'mərē`yō), city (1990 pop. 52,303), Ventura co., S Calif.; inc. 1964. It is the center of a fertile farm area where citrus fruits and flowers are grown. , Calif. -- Semtech
Semtech Corporation (NASDAQ: SMTC) is a supplier of analog and mixed-signal semiconductors. Corporation (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :SMTC SMTC Southern Maine Technical College SMTC Science/Mathematics/Technology Center (Central Michigan University) SMTC Saluda Mountain Telephone Company (Knoxville, Tennessee) SMTC Short-To-Medium Term Control ), a leading producer of high performance analog and mixed-signal semiconductors, today announced financial results for its first quarter of fiscal year 2006 that ended May 1, 2005. Net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight for the first quarter of fiscal year 2006 were $56.2 million, down 4 percent sequentially from the fourth quarter and down 9 percent from the prior year first quarter. Net income for the first quarter was $10.8 million or 14 cents per diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share, compared to net income of $14.8 million or 19 cents per diluted share in the prior year period. Semtech generated $13.4 million of operating cash flow Operating cash flow Earnings before depreciation minus taxes. Measures the cash generated from operations, not counting capital spending or working capital requirements. and spent $8.7 million on stock buybacks Stock buyback A corporation's purchase of its own outstanding stock, usually in order to raise the company's earnings per share. stock buyback See buyback. in the first quarter of fiscal year 2006. New orders in the first quarter of fiscal year 2006 were up 3 percent from the fourth quarter, but were less than shipments in the period. Orders for the Company's Protection and SETS product lines reached record levels in the first quarter. Order levels in certain areas of power management were impacted by lower average selling prices The average sales price of goods or commodities. Especially used in the retail sector and technology distribution. . New proprietary product introductions are forecasted to drive future order growth and margin expansion. The Networking and Industrial Power Management product line experienced record orders in the first quarter and continued strong new product introductions. The Company is also seeing diversity into broader end-markets, such as high-end high-end adj. Informal 1. Appealing to sophisticated and discerning customers: a high-end department store; high-end video equipment. 2. consumer products. Customers continue to order and request shipments with very short lead-times and are avoiding building buffer buffer, solution that can keep its relative acidity or alkalinity constant, i.e., keep its pH constant, despite the addition of strong acids or strong bases. inventory levels. Shipments by Semtech distributors to end-customers within Asia were at a record level in first quarter, indicating a continued decline in channel inventories. As the end-markets improve, demand should reflect the lower inventories and improving market conditions. The Company introduced 23 new products in the first quarter of fiscal year 2006. Nine of the new products were in the area of Portable Power Management and 8 were out of the Protection Products group. The rate of new product introductions is up dramatically over the prior year period, due in part to improved product definition and design processes implemented last year. Second Quarter Outlook Semtech estimates that net sales for the second quarter that ends July July: see month. 31, 2005 will be approximately flat with the first quarter that ended May 1, 2005. Turns orders (orders received and shipped in the same quarter) of approximately 48 percent are required to achieve this forecast. Earnings in the second quarter are forecasted to be 14 cents per diluted share. About Semtech Semtech Corporation is a leading supplier of analog and mixed-signal semiconductors used in a wide range of computer, industrial and communication applications. Safe Harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. Provision Statements contained in this release that are not historical facts are forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. as that term is defined in the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Forward-looking statements, including projections and forecasts for revenue and gross margin, involve risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include worldwide economic and political conditions, the timing and duration of semiconductor market upturns or downturns, demand for cellular phones, personal computers and automated au·to·mate v. au·to·mat·ed, au·to·mat·ing, au·to·mates v.tr. 1. To convert to automatic operation: automate a factory. 2. test equipment, demand for semiconductor devices in general, demand for the Company's products in particular, competitors' actions, supply from key third-party silicon wafer (1) A small, thin continuous-loop magnetic tape cartridge that has been used from time to time for data storage and specialized applications. (2) The base unit of chip making. It is a slice taken from a salami-like silicon crystal ingot up to 12" (300mm) in diameter. foundries and assembly contractors, manufacturing costs and yields, relations with strategic customers, and risks associated with the businesses of major customers. Other factors that may cause actual results to differ from the forward-looking statements contained in this press release and that may affect the Company's prospects in general are described in the Company's filings with the Securities and Exchange Commission. The Company undertakes no obligation to update or revise forward-looking statements to reflect subsequent events or changed assumptions or circumstances CIRCUMSTANCES, evidence. The particulars which accompany a fact. 2. The facts proved are either possible or impossible, ordinary and probable, or extraordinary and improbable, recent or ancient; they may have happened near us, or afar off; they are public or . SEMTECH CORPORATION CONSOLIDATED STATEMENTS OF INCOME (Table in thousands - except per share amounts)
Three Months Ended
May 1, April 25,
2005 2004
(Unaudited) (Unaudited)
Net sales $56,174 $61,893
Cost of sales 24,502 25,111
Gross profit 31,672 36,782
Operating costs and expenses:
Selling, general and administrative 11,108 10,341
Product development and engineering 8,633 7,907
Total operating costs and expenses 19,741 18,248
Operating income 11,931 18,534
Interest and other income (expense), net 1,935 894
Income before taxes 13,866 19,428
Provision for taxes 3,018 4,663
Net income $10,848 $14,765
================ ===========
Earnings per share:
Basic $0.15 $0.20
Diluted $0.14 $0.19
Weighted average number of shares:
Basic 73,845 74,226
Diluted 76,708 78,819
Notes regarding Consolidated Statements of Income: 1.) In the three month period ended May 1, 2005, $18,000 of previously written-off inventory was sold. In the three month period ended April 25, 2004, $297,000 of previously written-off inventory was sold. SEMTECH CORPORATION CONSOLIDATED BALANCE SHEETS consolidated balance sheet A balance sheet in which assets and liabilities of a parent company and its controlled subsidiaries are combined, thereby presenting balance sheet items for the parent and its subsidiaries as if they were a single firm. (In thousands)
May 1, January
2005 30, 2005
(Unaudited)
Assets
Current assets:
Cash and cash equivalents $80,961 $82,154
Temporary investments 126,458 108,167
Receivables, less allowances 23,714 22,098
Inventories 25,293 24,734
Deferred income taxes 7,264 7,255
Other current assets 6,749 6,026
Total current assets 270,439 250,434
Property, plant and equipment, net 58,565 55,674
Investments, maturities in excess of 1 year 96,001 111,577
Deferred income taxes 25,421 26,916
Other assets 10,843 13,324
Total Assets $461,269 $457,925
=========== =========
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable $11,776 $9,504
Accrued liabilities 7,638 11,697
Income taxes payable 3,606 3,495
Deferred revenue 2,547 2,879
Deferred income taxes 1,466 1,443
Total current liabilities 27,033 29,018
Deferred income taxes 2,143 2,131
Other long-term liabilities 2,894 2,410
Total Stockholders' equity 429,199 424,366
Total Liabilities and Stockholders' Equity $461,269 $457,925
=========== =========
|
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion