This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Cypress Reports Third-Quarter 2012 Results

BUSINESS REVIEW

+ Non-GAAP 1 consolidated gross margin for Q3 was 57.1%, up slightly from the previous quarter.

+ Net inventory at the end of Q3 was $89.3 million, down 2% from Q2. This was equivalent to 93 days, down three days from the prior quarter. We expect inventory to decrease slightly in Q4. Distributor weeks of inventory, which includes in-transit inventory, increased from 6.2 weeks to 7.0 weeks.

+ Cash and investments for Q3 totaled $219 million, an increase of $8.6 million from Q2. During Q3, we repurchased 7.3 million shares for $81.6 million, or an average of $11.20 per share. From September 2011, when we announced our $400 million stock-repurchase program, through September 30, 2012, we repurchased 19.9 million shares. We have approximately $120.7 million remaining under the authorized repurchase program.

+ Long-term debt under our revolving credit facility increased by $45 million to $198 million as we finished the preparations to fund the cash payments required under the Ramtron tender offer.

Our divisional revenue and gross margins are detailed below:

                       

BUSINESS UNIT SUMMARY FINANCIALS (UNAUDITED)

 
 

THREE MONTHS ENDED

September 30, 2012

 

Core

Emerging

PSD 1

MPD 1

DCD 1

Semi 2

Tech. 3

Consolidated

REVENUE ($M)

93.6

88.3

18.8

200.7

2.3

203.0

Percentage of total revenues

46.1

%

43.5

%

9.3

%

98.9

%

1.1

%

100.0

%

 

GROSS MARGIN (%)

On a non-GAAP 4 basis

53.5

%

64.0

%

50.0

%

57.8

%

-2.7

%

57.1

%

On a GAAP basis

50.6

%

61.1

%

47.1

%

54.9

%

-5.5

%

54.2

%

 

THREE MONTHS ENDED

July 1, 2012

 

Core

Emerging

PSD 1

MPD 1

DCD 1

Semi 2

Tech. 3

Consolidated

REVENUE ($M)

96.1

83.0

20.4

199.5

1.8

201.3

Percentage of total revenues

47.8

%

41.2

%

10.1

%

99.1

%

0.9

%

100.0

%

 

GROSS MARGIN (%)

On a non-GAAP 4 basis

54.1

%

64.2

%

53.9

%

58.3

%

-77.7

%

57.0

%

On a GAAP basis

50.3

%

60.3

%

50.0

%

54.4

%

-98.6

%

53.0

%

 
 
1. PSD – Programmable Systems Division; DCD – Data Communications Division; MPD – Memory Products Division.
 
2. “Core Semiconductor” – Includes PSD, DCD and MPD and excludes “Emerging Technology.”
 
3. “Emerging Technology” – Businesses outside our core semiconductor businesses outlined in footnote 2. Includes subsidiaries Cypress Envirosystems Inc., AgigA Tech Inc., Deca Technologies Inc., and our foundry-support business.
 
4. Refer to “Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures” and “Notes to Non-GAAP Financial Measures” following this press release for a detailed discussion of management’s use of non-GAAP financial measures, as well as reconciliations of all non-GAAP financial measures presented in this press release to the most directly comparable GAAP financial measures.
 

THIRD-QUARTER 2012 HIGHLIGHTS

+ Cypress shipped its one-billionth capacitive touch-sensing unit. These shipments include TrueTouch ® touchscreen controllers, CapSense ® controllers for mechanical button and slider replacement, and trackpad units for cursor navigation in laptop computers. These units have shipped into a variety of end products, such as high-volume mobile handsets, tablets, automotive applications, consumer electronics, white goods, and industrial products. Cypress holds 47 touch-related patents and has 200 more in process.

+ Tesla Motors selected Cypress’s TrueTouch automotive touchscreen solution for the infotainment system in the Model S, the world’s first premium electrically powered sedan. The 17-inch touchscreen in the Model S is the largest in an automobile to date, and it is the first to integrate all functional controls.

2 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs