LONDON Ė Fabless chip company Dialog Semiconductor plc has reported strong financial results for fourth quarter, as expected, and has forecast a strong first quarter of 2012.
Dialog (Kirchheim-unter-Teck, Germany), which makes integrated power management, audio and short range wireless ICs reported a net profit of $19.1 million on sales of $172.1 million. The quarterly revenue represents a sequential increase of 22.4 percent on the $140.6 million of revenue delivered in 3Q11 and an increase of 96.5 percent over the $87.6 million delivered in the comparative period last year.
The revenue growth was driven primarily driven by the success of customers in the smartphone and tablet computer market, Dialog said.
For the financial year 2011 revenue was $527.3 million: an increase of 77.8 percent over FY 2010.
"2011 was a very successful year for Dialog, where we led the industry in terms of integrated power management market share for smartphones and tablet pcs, while achieving our management goal of breaking through $500 million in annual revenue. Through a very difficult supply chain period, I am particularly proud that we increased unit shipments by 61 percent across the company and offered our customers higher value solutions," said Jalal Bagherli, CEO, in a statement.
"We executed on our first significant acquisition, adding short range wireless technology to our portfolio and achieved earnings accretion just one quarter after closing the acquisition. As a result, Dialog is well positioned with a much stronger portfolio to take further advantage of opportunities in the emerging high growth personal portable connected device market," he added.
Looking forward Dialog said that 1Q11 revenue would be between $160 million and $166 million, representing a strong year-on-year growth and less of a sequential decline than normal. In addition the company expects gross margin to improve through 2012.
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