SAN FRANCISCO RF Micro Devices Inc. Tuesday (April 26) reported fiscal fourth quarter 2005 revenue of $150.4 million, down 11 percent from the previous quarter and 8 percent from the fiscal fourth quarter of 2004.
RF Micro turned in gross profit for the quarter of $45 million, down 26 percent from the $60.9 million profit reported for the prior-year quarter and down 23 percent from the $58.4 million profit reported for the previous quarter.
On a generally accepted accounting principles (GAAP) basis, however, the company posted a net loss of $62.2 million, or 33 cents per diluted share, for the fiscal quarter. This loss includes accounting charges of nearly $46 million relating to RF Micro's previously announced discontinuation of WLAN chipset development efforts, the company said.
The GAAP loss for the quarter represents an increase over the GAAP net loss of $900,000 reported during the corresponding quarter of fiscal 2004. In the previous quarter, the fiscal third of 2004, RF Micro posted a GAAP net income of $600,000.
The company said the year-over-year decline in quarterly revenue was primarily the result of lower sales to handset manufacturers in Asia and a decline in U.S. market demand for time division multiple access (TDMA) handsets.
The sequential decline in quarterly revenue reflected normal seasonality, partially offset by strength at a tier-one handset manufacturer in Asia and share gains in the market for cellular transceivers, the company said.
RF Micro's gross profit margin in the March 2005 quarter was 29.9 percent, down from 34.6 percent in the previous quarter and 37.3 percent for the corresponding quarter of 2004.
RF Micro also announced Tuesday (April 26) that its board of directors has approved a stock option exchange program for RF Micro Devices employees, subject to shareowner approval of the program at the company's 2005 annual meeting. Under the proposed program, RF Micro employees will be given a voluntary, one-time opportunity to exchange some or all of their eligible stock options for a lesser number of options at a new exercise price, which will be based on RF Micro's stock price at a future date in August 2005, the company said.