Analog Devices, Inc. (NYSE: ADI) announced revenue of $643.9 million for the second quarter of fiscal 2006, an increase of 7% compared to the same period one year ago and an increase of 4% compared to the immediately prior quarter. Net income under generally accepted accounting principles (GAAP) was $145.8 million for the second quarter. Diluted earnings per share (EPS) was $0.39 for the second quarter.
The GAAP results for the second quarter of fiscal 2006 include the following items: a gain of $13 million related to the previously-announced sale of the digital signal processing (DSP)-based digital subscriber line (DSL) application-specific integrated circuit (ASIC) and network processor product line; expenses of $6 million included in cost of sales and related to previously-announced restructuring actions; and $17 million of non-cash stock option expense. These items reduced diluted EPS by $0.02 in the second quarter.
"The second quarter was a good quarter for ADI, led by strong growth in sales to our industrial instrumentation, consumer electronics, and wireless infrastructure customers," said Jerald G. Fishman, ADI's president and chief executive officer. "Data converter, amplifier, and general-purpose DSP products were the fastest-growing product categories compared to the immediately prior quarter." During the second quarter of fiscal year 2006, analog products totaled 84% of sales and DSP products totaled 16% of sales. Revenue from analog products grew 11% compared to the same period one year ago and 5% compared to the immediately prior quarter. Data converter product sales grew 8%, amplifier sales grew 9%, and other analog product sales declined 3% compared to the immediately prior quarter. Revenue from each of these analog product categories increased on a year-over-year basis.
Revenue from DSP products declined 10% compared to the same period one year ago and 4% compared to the immediately prior quarter due primarily to the previously announced sale of the DSP-based DSL ASIC and network processor product line. General-purpose DSP product sales grew 6% compared to the previous quarter.
