During the third quarter of fiscal 2011, net income stood at $75 million on total revenue of $2.1 billion. The company's consolidated gross margin improved sequentially to 22% from 19% on lower manufacturing costs.
Operating cash flow for third quarter was $589 million and capital expenditure was $534 million. The company repaid $327 million debt and closed the quarter with cash and short-term investments of $2.4 billion.During the third quarter, the company sold its wafer fabrication facility in Japan to Tower Semiconductor. Operating income for the period also included $8 million receipts from the U.S. government related to anti-dumping duties. Analysts project 59% upside over the next year.