MANHASSET, N.Y. Semiconductor supplier Cypress Semiconductor Corp. reported a GAAP net loss of $5.9 million, or 4 cents per share on sales of $227.1 million in the third quarter, compared to earnings of $4.3 million, or 12 cents per share on sales of $219.6 million in the year-ago quarter.
In the previous quarter, Cypress (San Jose) lost $15.7 million, or 12 cents per share on sales of $220.5 million.
Gross margin for the third quarter was 42.1 percent, up slightly from the previous quarter. Net inventory was $77.1 million, down 7.3 percent, or $6.1 million, from the previous quarter and is at the lowest level since the first half of 2004. Cash balances increased by $33.1 million to end the quarter at $272.7 million.
Cypress president and chief executive T.J. Rodgers has predicted each of the last few quarters the company would turn profitable. Though Cypress posted pro-forma earnings of $3.8 million, or 3 cents per share, various restructuring and other charges sunk the company’s GAAP results into the red once again.
Rodgers said the company’s results were adversely affected by lightning storms that shut down each of its wafer fabs for a day or more during the quarter. "We were forced to push $24 million of backlog into the fourth quarter," Rodgers said in a statement.
For the fourth quarter, Cypress expects to post revenue gains and a profit, but did not give numbers.