Austin, TX (February 6, 2008)--Cirrus Logic has reported its financial results for the third quarter fiscal year 2008, which ended December 29, 2007.
The company reported third quarter fiscal year 2008 revenue of $48.9 million, compared with $47.0 million in the previous quarter, and $45.3 million during the third quarter of fiscal year 2007. Third quarter gross margin was 56 percent compared to 61 percent for the third quarter of fiscal year 2007 and operating expenses for the quarter were $26.1 million. Net income on a GAAP basis was approximately $4.2 million and included the following items:
• Approximately $2.1 million in stock-based compensation expense
• $500,000 in legal costs related to the company's review of its historical stock option practices
• A charge of $500,000 for the amortization of intangibles related to acquisitions
• A net credit of $1.3 million for the release of various facility-related accruals.
Total cash and marketable securities at the end of the third fiscal quarter was $252 million, compared with $245 million at the end of the prior fiscal quarter.
"In Q3 we completed our strategic plan, providing a clear picture of how to align our resources with our best growth prospects," said Jason Rhode, president and chief executive officer. "We are also pleased that our investment in portable audio is continuing to pay off, as revenues in that product line continued to grow."
Additionally, the Cirrus Logic Board of Directors authorized a share repurchase program of up to $150 million. The repurchases will be funded from existing cash and will be effected from time to time in accordance with applicable securities laws through the open market or in private transactions, depending on general market and economic conditions.
Outlook for Fourth Quarter FY 2008 (ending March 29, 2008):
• Revenue is expected to range between $44 million and $47 million
• Gross margin is expected to be between 55 percent and 58 percent
• Combined R&D and SG&A expenses are expected to range between $25 million and $27 million, which includes approximately $2.3 million in share-based compensation and amortization of acquisition-related intangibles expenses.