Attached files
| file | filename |
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| 8-K - PERICOM SEMICONDUCTOR CORP | v193033_8k.htm |
| EX-99.2 - PERICOM SEMICONDUCTOR CORP | v193033_ex99-2.htm |
PERICOM
SEMICONDUCTOR REPORTS
FISCAL
FOURTH QUARTER 2010 FINANCIAL RESULTS
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§
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Net
revenues increased 13% sequentially, and 40%
year-over-year.
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Gross
margin increased 146 basis points
sequentially.
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§
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GAAP net
income attributable to Pericom shareholders increased 28% sequentially and
277% year-over-year.
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San Jose,
Calif. – August 9, 2010 - Pericom Semiconductor Corporation (NASDAQ: PSEM), a
worldwide supplier of high-speed integrated circuits and frequency control
products, today announced results for its fiscal fourth quarter ended July 3,
2010.
Net
revenues for the fourth quarter were $41.5 million, an increase of 13% from the
$36.7 million reported in the third quarter, and up 40% from the $29.7
million reported in the comparable period last year. When normalizing
for the additional fourteenth week during the fourth quarter, net revenues
increased by 5% sequentially, and 30% year-over-year.
Gross
margin was 36.7%, up from 35.3% last quarter, and from 28.7% in the comparable
period last year.
GAAP net
income attributable
to Pericom shareholders for the fourth quarter was $3.9 million, or $0.15 per
diluted share, compared with net income of $3.1 million, or $0.12 per diluted
share in the third quarter, and net income of $1.0 million, or $0.04 per diluted
share in the comparable period last year.
The
balance sheet remained very strong with cash and investments in marketable
securities of $119 million at the end of the fourth quarter and cash and
investments per basic share was $4.72 for the fourth quarter. Working
capital was $138 million and the current ratio was 6.25 to 1.00.
“We are
pleased to report a sequential revenue increase, driven by increased demand from
enterprise computing, networking and embedded applications” said Alex Hui,
President and CEO of Pericom. “We continued to expand
gross margin and control operating expenses, which led to a 31% improvement in
operating results compared with last quarter.”
“The book to bill ratio
was significantly higher than one for the quarter just concluded which
gives us a higher backlog entering Q1 fiscal 2011. We continue
to uncover new opportunities to deploy our first and second generation
high-speed serial connectivity solutions and we have begun to work with key
customers on initial deployment of our third generation solutions. We believe
Pericom is well positioned to continue delivering both revenue growth and better
operating results as we realize the opportunities in the end market segments
that we serve with our expanding solutions and design win
activities.”
New
Products
In the
June quarter, we continued to expand our serial connectivity solution with the
introduction of 9 new products that work across the Signal Integrity, Timing and
Connectivity product areas:
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·
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Expanding
its solutions for high-speed serial protocol signal integrity, Pericom
introduced 2 new ReDriverTM
products addressing SATA2 and USB3 protocols. These products
are intended for volume computing and embedded
applications.
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·
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Adding
to high speed connectivity solutions, Pericom introduced 3 new switching
and connectivity products across PCIe, USB, VGA, and Display Port
protocols. The PCIe to USB2.0+PCIe product is the first to combine
bridging and switching of multiple high-speed serial protocols. These
products target the computing, server, networking, and embedded market
segments.
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NEWS
RELEASE August 9, 2010
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·
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Expanding
its timing solutions for next generation platforms, Pericom introduced 4
new products – 2 advanced clock generators aimed at access router
networking platforms, 1 advanced crystal oscillator (XO) targeting 10Gb
Ethernet, and a new family of very small footprint crystals aimed at
volume ultra-mobility products such as cell phones, PDA, and smart card
applications.
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Share
Repurchase Update
On April
29, 2008, our Board of Directors authorized the repurchase of $30 million of our
common stock. Pursuant to the 2008 authority, the Company repurchased
467,408 shares in the three months ended July 3, 2010 for an aggregate cost of
$4,429,066 and an average per share purchase price of $9.48. The
remaining balance of potential share repurchases under the 2008 authority is
approximately $17.8 million.
PTI
Acquisition
Pericom
announced today that it has entered into a definitive agreement to acquire all
remaining outstanding shares of Pericom Technology, Inc. (“PTI”) for up to
approximately $35 million in cash. Pericom previously held a 40.6%
ownership in PTI on a fully diluted basis and accounted for its investment in
PTI using the equity method due to Pericom’s significant influence over its
operations. PTI is a fabless IC provider of timing, power management,
and analog switch products that are sold primarily to Asian telecom, consumer,
and ultra-mobility market segments. The company was incorporated in
the British Virgin Islands in 1994, and is headquartered in Hong Kong, with
significant operations in Shanghai and Shenzhen, People’s Republic of
China. For additional information about the PTI acquisition, please
refer to the Pericom press release library at http://www.pericom.com/press/211/
and click on the link for the press release dated August 9, 2010 describing
Pericom’s acquisition of PTI.
Fiscal
Q1 2011 Outlook
The
following statements are based on current expectations. These statements are
forward looking, and actual results may differ materially.
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Revenues
in the first fiscal quarter are expected to be in the range of $40.5
million to $42.5 million.
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Gross
margins are expected to be in the 36% to 38%
range.
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Operating
expenses are expected to be in the range of $11.0 to $11.5 million, which
include stock-based compensation expense of approximately $1.2
million.
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Other
income is expected to be approximately $0.9
million.
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Net
income from unconsolidated affiliates PTI and JCP is expected to be
approximately $0.6 million.
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The
effective tax rate is expected to be approximately
32%.
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Fiscal
Q1 2011 Outlook – with the acquisition of PTI
We expect
to complete the acquisition of PTI late in the first quarter. Below
is our guidance with the inclusion of PTI as if the acquisition is completed at
the start of September. These statements are forward looking, and actual results
may differ materially.
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Revenues
in the first fiscal quarter are expected to be in the range of $42.0
million to $45.0 million.
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Gross
margins are expected to be in the 37% to 38%
range.
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3545
North First Street San Jose,
CA 95134 (408)
435-0800
NEWS
RELEASE August 9, 2010
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·
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Operating
expenses are expected to be in the range of $11.9 to $12.5 million, which
include stock-based compensation expense of approximately $1.2 million,
and also $0.5 million of one-time acquisition related
expense.
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Other
income is expected to be approximately $0.9
million.
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Net
income from unconsolidated affiliates PTI (before acquisition)
and JCP is expected to be approximately $0.4
million.
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·
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The
effective tax rate is expected to be approximately
31%.
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Conference
Call
The press
release will be followed by a conference call beginning at 1:30 p.m. Pacific
time. To listen to the call, dial (877) 377-7103 and reference “Pericom”. A
slide presentation will accompany the conference call. To view the
slides, please visit the investor relations section of
www.pericom.com.
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.
A taped
replay of the conference call will be made available for the period from this
evening through midnight on Monday, August 16th. To listen to the replay, dial
(800) 642-1687 and reference conference ID 92282911.
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 San Jose, California, with design centers and
technical sales and support offices globally.
http://www.pericom.com.
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 Q1 2011 Outlook” and
”Fiscal Q1 2011 Outlook – With the Acquisition of PTI”, which regard the
anticipated revenues, gross margin, operating expenses, other income and tax
rate in the first fiscal quarter of 2011, and statements regarding continuing to
drive improvements in gross margin and operating overhead, an increasing need
for our products, Pericom being well positioned for the next phase of growth,
and continuing revenue growth and delivering improved operating results. 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 quarterly report on Form 10-Q for the quarter ended March 27, 2010,
our annual report on Form 10-K for the year ended June 27, 2009, and, in
particular, the risk factors sections contained in those reports.
Contact:
Aaron Tachibana
Pericom
Semiconductor
Tel: 408
435-0800
atachibana@pericom.com
- See
Attached Tables -
3545
North First Street San Jose,
CA 95134 (408)
435-0800
NEWS
RELEASE, August 9, 2010
Pericom
Semiconductor Corporation
Condensed
Consolidated Statements of Operations
(In
thousands, except per share data)
(unaudited)
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Three Months Ended
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Twelve Months Ended
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July 3
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Mar 27
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Jun 27
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July 3
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Jun 27
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2010
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2010
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2009
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2010
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2009
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Net
revenues
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$ | 41,495 | $ | 36,661 | $ | 29,721 | $ | 146,913 | $ | 128,645 | ||||||||||
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Cost
of revenues
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26,246 | 23,723 | 21,193 | 96,146 | 85,514 | |||||||||||||||
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Gross
profit
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15,249 | 12,938 | 8,528 | 50,767 | 43,131 | |||||||||||||||
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Operating
expenses:
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Research
and development
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4,575 | 4,251 | 4,117 | 17,208 | 16,697 | |||||||||||||||
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Selling,
general and administrative
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7,413 | 6,201 | 5,343 | 26,478 | 22,833 | |||||||||||||||
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Restructuring
charge
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- | - | 74 | - | 584 | |||||||||||||||
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Total
operating expenses
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11,988 | 10,452 | 9,534 | 43,686 | 40,114 | |||||||||||||||
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Income
(loss) from operations
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3,261 | 2,486 | (1,006 | ) | 7,081 | 3,017 | ||||||||||||||
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Interest
and other income
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1,072 | 1,219 | 1,677 | 5,222 | 5,548 | |||||||||||||||
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Other
than temporary decline in value of investment
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- | - | - | - | (506 | ) | ||||||||||||||
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Income
before income taxes
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4,333 | 3,705 | 671 | 12,303 | 8,059 | |||||||||||||||
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Income
tax expense (benefit)
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1,174 | 1,260 | (135 | ) | 3,911 | 2,209 | ||||||||||||||
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Net
income from consolidated companies
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3,159 | 2,445 | 806 | 8,392 | 5,850 | |||||||||||||||
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Equity
in net income of unconsolidated affiliates
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759 | 608 | 256 | 2,430 | 351 | |||||||||||||||
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Net
income
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3,918 | 3,053 | 1,062 | 10,822 | 6,201 | |||||||||||||||
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Net
income attributable to noncontrolling interests
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- | - | (22 | ) | (28 | ) | (114 | ) | ||||||||||||
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Net
income attributable to Pericom shareholders
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$ | 3,918 | $ | 3,053 | $ | 1,040 | $ | 10,794 | $ | 6,087 | ||||||||||
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Basic
income per share to Pericom shareholders
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$ | 0.16 | $ | 0.12 | $ | 0.04 | $ | 0.42 | $ | 0.24 | ||||||||||
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Diluted
income per share to Pericom shareholders
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$ | 0.15 | $ | 0.12 | $ | 0.04 | $ | 0.42 | $ | 0.24 | ||||||||||
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Shares
used in computing basic income per share
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25,210 | 25,386 | 25,354 | 25,412 | 25,417 | |||||||||||||||
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Shares
used in computing diluted income per share
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25,582 | 25,697 | 25,485 | 25,717 | 25,626 | |||||||||||||||
-
more –
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3545 North First Street
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San Jose, CA
95134
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(408) 435-0800
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NEWS
RELEASE, August 9, 2010
Pericom
Semiconductor Corporation
Condensed
Consolidated Balance Sheets
(In
thousands)
(unaudited)
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As
of
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As
of
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July 3, 2010
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Jun 27, 2009
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Assets
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Current
assets:
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Cash
& cash equivalents
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$ | 29,495 | $ | 37,321 | ||||
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Restricted
cash
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- | 3,200 | ||||||
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Short-term
investments
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76,454 | 75,471 | ||||||
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Accounts
receivable - trade
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25,365 | 22,875 | ||||||
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Inventories
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23,431 | 16,340 | ||||||
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Prepaid
expenses and other current assets
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6,825 | 3,738 | ||||||
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Deferred
income taxes
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3,119 | 2,433 | ||||||
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Total
current assets
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164,689 | 161,378 | ||||||
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Property,
plant and equipment-net
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50,760 | 47,238 | ||||||
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Investments
in unconsolidated affiliates
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13,183 | 10,826 | ||||||
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Deferred
income taxes non current
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3,868 | 4,913 | ||||||
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Long-term
investments in marketable securities
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12,977 | 11,780 | ||||||
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Goodwill
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1,681 | 1,673 | ||||||
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Intangible
assets
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1,452 | 1,764 | ||||||
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Other
assets
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7,438 | 6,742 | ||||||
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Total
assets
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$ | 256,048 | $ | 246,314 | ||||
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Liabilities
and Shareholders' Equity
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Current
liabilities:
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Accounts
payable
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$ | 15,585 | $ | 10,824 | ||||
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Accrued
liabilities and other
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10,781 | 15,118 | ||||||
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Current
portion of long-term debt
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- | 60 | ||||||
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Total
current liabilities
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26,366 | 26,002 | ||||||
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Long-term
debt
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- | 1,610 | ||||||
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Industrial
development subsidy
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6,577 | 3,718 | ||||||
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Other
long-term liabilities
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1,199 | 1,287 | ||||||
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Total
liabilities
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34,142 | 32,617 | ||||||
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Shareholders'
equity:
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Common
stock and paid in capital
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130,536 | 133,162 | ||||||
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Retained
earnings and other comprehensive income
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91,370 | 79,302 | ||||||
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Total
Pericom shareholders' equity
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221,906 | 212,464 | ||||||
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Noncontrolling
interests in consolidated subsidiaries
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- | 1,233 | ||||||
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Total
shareholders' equity
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221,906 | 213,697 | ||||||
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Total
liabilities and shareholders' equity
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$ | 256,048 | $ | 246,314 | ||||
-
more -
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3545 North First Street
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San Jose, CA
95134
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(408) 435-0800
|
NEWS
RELEASE, August 9, 2010
Pericom
Semiconductor Corporation
Share-Based
Compensation
(In
thousands)
(unaudited)
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Three Months Ended
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Twelve Months Ended
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July
3
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Mar
27
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Jun
27
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July
3
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Jun
27
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2010
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2010
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2009
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2010
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2009
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Cost
of revenues
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$ | 88 | $ | 70 | $ | 52 | $ | 286 | $ | 244 | ||||||||||
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Research
and development
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441 | 371 | 359 | 1,506 | 1,407 | |||||||||||||||
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Selling,
general and administrative
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659 | 557 | 477 | 2,257 | 1,935 | |||||||||||||||
| $ | 1,188 | $ | 998 | $ | 888 | $ | 4,049 | $ | 3,586 | |||||||||||
-
end -
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3545 North First Street
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San Jose, CA 95134
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(408) 435-0800
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