Earnings Report: C-Cube Microsystems Inc.
C-Cube Microsystems Inc, the Milpitas, California-based digital
video chip company has reported third quarter net income up 11.2% at
$14m, compared to $13m for the same period last year. The company
reported revenues of $101.4m against $86.2m last year. The earnings per
share were slightly up on the First Call estimate of $0.30 at $0.32.
C-Cube's CEO Alexandre Balkanski said that the firm's deals
with Samsung Electronics Co Ltd, NEC Corp and JVC Corp to create DVD and
digital-VHS recorders had been highlights of the quarter. Taiwan
Semiconductor Manufacturing Co builds most of C-Cube's chips but
Balkanski said the fallout from the Taiwan earthquake had not affected
the third quarter. However, he admitted that capacity for the fourth
quarter remains tight. He pointed out that C-Cube was working with TSMC on its US foundry plant and has also signed a deal with UMC to ensure
supply. The firm has guarantees from TSMC about chip production.