SAN FRANCISCO—Microsemi Corp. Thursday (Jan. 27) reported a net loss in accordance with generally accepted accounting principles (GAAP) on higher expenses, despite another quarter of increased revenue, while Lattice Semiconductor Corp. saw sales and net income decline sequentially.
Microsemi (Irvine, Calif.) reported sales of $184.4 million for the quarter ended Jan. 2, up 22 percent from the previous year and up 63 percent from the year-ago quarter. The company reported a loss in accordance with generally accepted accounting principles of $3.9 million, compared to GAAP net incomes in the previous and year-ago quarters.
"Microsemi again achieved record revenue growth and strong profitability improvement as it executed on its product growth and value chain expansion strategy," stated James Peterson, president and CEO, in a statement.
Microsemi said it expects sales for the current quarter to be between $203 million and $208 million, an increase of 10 to 13 percent sequentially.
"Microsemi reported another solid quarter of financial results and guided calendar 1Q EPS slightly better than the Street as gross margins showed surprising strength, a positive," said Craig Berger, an analyst with FBR Capital Markets. "The Microsemi team continues to execute its strategic plans of building out its defense and aerospace semiconductor product offering, building scale, and growing its technical system-level capabilities, with the intention of being the world's leading supplier of high-reliability defense and aerospace chips, a plan that management is executing on well."
Berger maintains a rating of "outperform" and a price target of $31 on Microsemi's stock. The stock closed at $22.35 Friday.
Also Thursday, Microsemi announced that Synopsys Inc.'s Synphony Model Compiler, a design tool suite for hardware DSP algorithm design, now provides support for Microsemi FPGAs (formerly Actel).
Meanwhile, programmable logic vendor Lattice Semiconductor posted revenue of $73.1 million for the fourth quarter, down 5 percent from the prior quarter but up 33 percent from the year ago quarter. Net income for the fourth quarter was $13.9 million, or 11 cents per share, down 10 percent from the previous quarter but up 148 percent compared with the year-ago quarter.
For fiscal 2010, Lattice (Hillsboro, Ore.) reported sales of $297.8 million, up 53 percent from 2009. The company reported an annual net income of $57.1 million, compared with a net loss of $7 million in fiscal 2009.
Fourth quarter FPGA revenue was $24.4 million, down 1 percent from the prior quarter but up 46 percent from the year-ago quarter, Lattice said. PLD revenue for the fourth quarter was $48.7 million, a decrease of 7 percent from the prior quarter, and an increase of 26 percent from the year-ago quarter, Lattice said.
"The fourth quarter was in line with guidance as strength in the consumer, and industrial and other end markets was offset by weakness in the communications market as some customers adjusted short-term inventory," said Darin Billerbeck, Lattice president and CEO, in a statement.
Lattice said it expects revenue for the first quarter of this year to be between $74.6 million and $78.2 million, an increase of 2 to 7 percent sequentially.
Lattice's stock rose 3.4 percent Friday, closing at $6.14.