In addition to US GAAP reporting, Avago reports certain financial measures on a non-GAAP basis, which are provided in addition to and not as a substitute for the comparable GAAP measures. A reconciliation between the GAAP and non-GAAP measures are included in the tables attached to today’s press release. Comments made during today’s call will primarily refer to our non-GAAP financial results.Please refer to our press release today and our recent filings with the SEC for information on the specific risk factors that could affect our business and financial condition and cause our actual results to differ materially from the forward-looking statements made on this call. At this time, I would like to turn the call over to Hock Tan. Hock? Hock Tan Thank you, Jacob. Good afternoon, everyone. I’m going to start today by reviewing some of the recent business highlights, and then Doug will provide some review of the fourth quarter and full fiscal year financial results. Now, as you may have seen from our earnings announcement, we had a solid fourth quarter with record revenues and income from operations. Revenue in the fourth quarter 2011 is up 9% year-on-year from the fourth quarter a year ago. We saw strong sequential growth in our wireless communications business, in fact, better than we expected at the beginning of the quarter. This was offset partially by weaker than expected performance from our industrial and consumer end-markets. We believe worldwide volatility in the financial markets and slow growth in China’s economy is causing a number of OEMs and most distributors to take risks out of the business models and to substantially reduce their inventory levels. Because of these, we see the impact of lower component demand in our industrial markets. In contrast, however, we also experienced certain phenomena that [leads] our revenues in this period of demand uncertainty. In particular, certain wireless OEM winners in the marketplace have been able to grow for us. Additionally, in wide networking, investments in core routing and data centers remain strong, very much to our benefit in SerDes and fiber.
The recent and ongoing flooding in Thailand is having an impact on various semiconductor and optical supply chains. While the impact on our own business was small in Q4, we expect revenue could be negatively impacted in the range of $10 million to $20 million in Q1. Certain of our multi-market wireless and industrial products were being tested, assembled with a contract manufacturer based in the flood zone, whose facilities have been shut down as a result. We are in the process of moving equipment and qualifying new contract manufacturers to bring the manufacturing of these products back on line, and we expect this work to be substantially completed during the course of Q1.With that, let’s turn to results from each of our target markets. Within wireless, we manufacture FBAR, as you may know, duplexers, power amplifiers, light and proximity sensors, and optical finger navigations for smartphones and feature-rich phones. We also manufacture RF components for wireless base stations and wireless infrastructure markets. Sales from our wireless communications target market represented 42% of our fourth quarter revenue and our revenue from this target market grew 16% compared to Q3, growing 18% compared to a year ago. This performance was stronger than our expectations for the quarter. Growth in Q4 was driven largely by strength in our power amplifier business, driven by the launch of new smartphones. Our cutting-edge multi-band power amplifiers continue to run very successfully. Looking ahead to first quarter fiscal ’12, the quarter we are in right now, we expect overall wireless revenues to decline on a percentage basis in the low double digits compared to Q4. In line with normal seasonality, we expect the RF portion of this business to be down by high single digits, exacerbated by weakness in our OFN, optical finger navigation, business. Read the rest of this transcript for free on seekingalpha.com