The company reported that its earnings for the second quarter of 2008 surged 95%, driven by strong revenue growth. Boosted by strong demand for its high-speed serial protocol solutions used in digital video and other products, total revenue for the quarter climbed 32% to $40.7 million, vs. $30.8 million in the year-ago quarter.
Net income for the quarter increased to $4.4 million, or 16 cents a share, from $2.26 million, or 8 cents a share, in the second quarter of 2007. The company expanded its ultra mobility solutions by launching two new USB switches that support USB High Speed capability and combine USB High Speed and audio signals for new cell phones and MP3 players.
Looking ahead, management expects revenue for the third quarter to be between $38.5 million and $40.7 million, with gross margin expected to be in the range of 36% to 37%. In addition, the company expects its interest income to be $1.4 million. However, weak demand for semiconductors, higher stock option expense, and a highly competitive market could restrict Pericom Semiconductor's future growth.
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