Hittite Microwave Corporation (NASDAQ:HITT) today reported revenue for the fourth quarter ended December 31, 2011 of $60.2 million, representing a decrease of 8.2% compared with $65.6 million for the fourth quarter of 2010, and a decrease of 11.6% compared with $68.1 million for the third quarter of 2011. Net income for the quarter was $21.2 million, or $0.69 per diluted share, an increase of 1.5% compared with $20.9 million, or $0.69 per diluted share, for the fourth quarter of 2010, and a decrease of 5.3% compared with $22.4 million, or $0.73 per diluted share, for the third quarter of 2011. Fourth quarter 2011 net income includes a $5.5 million, $0.18 per diluted share, tax benefit related to the resolution of a tax audit. For the fourth quarter of 2011, revenue from customers in the United States was $27.7 million, or 46.0% of the company’s total revenue, and revenue from customers outside the United States was $32.5 million, or 54.0% of total revenue. Gross margin was 74.0% for the fourth quarter of 2011, compared with 74.5% for both the fourth quarter of 2010 and the third quarter of 2011. Operating income for the fourth quarter was $24.6 million, or 40.9% of revenue. Total cash and cash equivalents at December 31, 2011 was $353.7 million, an increase of $2.5 million for the quarter. For the full year 2011, revenue was $264.1 million, an 8.1% increase from $244.3 million for 2010. Net income for the year was $84.7 million, or $2.77 per diluted share, an increase of 9.9% from $77.0 million, or $2.56 per diluted share, for 2010. Net bookings for 2011 were $256.9 million, compared with $254.9 million for 2010. Backlog at December 31, 2011 was $67.4 million compared with $74.5 million at December 31, 2010. Business Outlook The company expects revenue for the first quarter ending March 31, 2012 to be in the range of $61.0 million to $63.0 million and net income to be in the range of $15.5 million to $16.3 million, or $0.51 to $0.53 per diluted share.
Hittite Microwave (HITT) stock has been downgraded to "neutral" from "buy," D.A. Davidson said Tuesday. The firm said the recent bid from Analog Devices (ADI) to purchase the company for $78 a share will likely close as expected in August.