(Nasdaq:DSPG), which specializes in digital signal processing cores, is one of the few that beat forecasts for the second quarter.
The company today said second-quarter revenues leaped 45% against the sequential quarter to $36.5 million. Its revenue result was 8% above analyst forecasts.
The second was the last quarter in which DSPG will be consolidating its results with its chips and licensing unit. As of the third quarter, Ceva will be reporting as a united company with Ireland's Parthus Technologies.
Product sales in the second quarter reached $31.9 million, while the company's guidance had been for $27 million to $29 million. Licensing generated another $4.6 million, the lower edge of the company's guidance, which had been $4.6 million to $4.8 million.
The company netted $6.4 million, or 23 cents per share, some 25% above analyst forecasts.
But the products division reported an unusual loss item of $9.8 million on the declined value of its holdings of AudioCodes (Nasdaq:AUDC) shares.
During the second quarter DSPG announced that it had two significant products launches during this quarter, the Xpert Teak, which is a first silicon platform of its kind offered in a licensing model, merging a DSP core with a host of subsystems, the company said.
During the second quarter 2002, DSPG began to ship its new 2.4 GHz multi hand set chipsets, which support up to 8 handsets on one base unit, the company said.
The company's results "reflect the success of our R&D investment strategy in the last four years. Our R&D expense increased from $8.4 million in 1997 to $26.1 million in 2001," commented Eli Ayalon, the company's chairman & CEO.