APT Reports Third-Quarter 2005 Financial Results
Advanced Power Technology Inc. (APT, Bend, OR), a supplier of power semiconductors, reported financial results for the third quarter ended September 30, 2005. For the third quarter of 2005, revenues were $16.8 million, which was down 9.7 percent from $18.7 million for the third quarter of 2004, and up sequentially 11.0 percent from $15.2 million for the second quarter of 2005. The net income for the third quarter of 2005 in accordance with generally accepted accounting principles (GAAP) was $828,000, or $0.07 per diluted share, and included $326,000 of charges primarily related to non-cash intangible asset amortization due to acquisitions. This compares to a third quarter of 2004 GAAP net income of $1.2 million, or $0.11 per diluted share, and to a second quarter of 2005 GAAP net loss of $237,000, or $0.02 per share. On a GAAP basis, gross margin for the third quarter of 2005 was 34.2 percent of revenue compared to 33.8 percent in the year-ago quarter, and 31.1 percent in the prior quarter.
On a non-GAAP basis, excluding non-cash purchase accounting charges related to acquisitions and other charges, net income for the third quarter ended September 30, 2005, was $1.2 million, or $0.10 per diluted share, compared to net income of $1.9 million, or $0.17 per diluted share, in the year-ago quarter, and net income of $185,000, or $0.02 per diluted share, in the second quarter of 2005. Non-GAAP gross margin for the third quarter of 2005 was 35.8 percent of revenue compared to 35.3 percent in the year-ago quarter, and 32.9 percent in the prior quarter.
Chief Executive Officer Patrick Sireta commented, "I am pleased with the improvement in our third-quarter financial results over the prior quarter. Our third-quarter non-GAAP gross margin of 35.8 percent, consistent with expected gross margin expansion, was at the high end of our previous guidance, and improved by 290 basis points over the prior quarter. Tight control of our operating expenses in the third quarter allowed us to exceed our recently upwardly revised EPS projection."