It's not all doom and gloom for the IC industry, based on the financial results of International Rectifier (IR) and Skyworks announced Wednesday (Oct. 27).
IR said revenues were $312.2 million in the September quarter, up 5 percent from $298.6 million in the June quarter, and up 33 percent from $234.1 million in the prior-year quarter.
On a GAAP basis, net income was $37.6 million, or 53 cents per share, in the September quarter versus $29.4 million, or 42 cents per share, in the June quarter and $16.7 million, or 25 cents per share, in the prior-year quarter.
"Overall, business exceeded our expectations with the most recent quarter reflecting record revenues, gross margins and backlog," said Chief Executive Officer Alex Lidow in a statement. "These achievements are being driven by a number of factors, including continued expansion of IR power management content in IT where PC revenues grew four percent quarter on quarter and 44 percent year on year."
Lidow was somewhat upbeat in terms of the outlook. "In the current quarter, revenues are expected to be $312 million plus or minus five percent," he said. "At a time when inventory is being corrected in the PC market, we're seeing a rapid acceleration of our business in energy conservation applications."
Meanwhile, Skyworks Solutions Inc., a wireless chip maker, posted record revenues of $218.1 million for the fourth fiscal quarter ended October 1, 2004, representing a 45 percent increase when compared to revenues of $150.0 million during the fourth fiscal quarter of 2003. Sequentially, revenues grew five percent from the $207.4 million reported in the prior period.
The company posted a profit of $18.1 million, or 11 cents per share, in the period, compared to a loss of $42.9 million, or minus 30 cents, a year ago.
"We expect share gains and our increasing content per handset to more than offset market softness in China, enabling modest revenue growth in the first fiscal quarter," said Allan M. Kline, Skyworks' vice president and chief financial officer, in a statement. "We also anticipate expanded gross margins and reduced operating expenses as a percentage of sales to drive a 10 percent sequential improvement in operating income."