Cree Reports Financial Results for the Second Quarter of Fiscal 2007
Cree, Inc. announced revenue of $88.8 million for its fiscal second quarter ended December 24, 2006. This represents a 16% decrease compared to revenue of $105.6 million reported for the year ago period. Net income for the second quarter was $16.5 million, or $0.21 per diluted share, which includes a gain from the sale of marketable securities of $0.15 per diluted share, compared to $17.7 million or $0.23 per diluted share for the second quarter of 2006.
For the six-month period ended December 24, 2006, Cree reported revenue of $192.7 million. This represents an eight percent decrease compared to the same period in fiscal year 2006. Net income for the six-month period was $29.8 million, or $0.38 per diluted share, which includes a gain from the sale of marketable securities of $0.15 per diluted share, compared to $39.4 million, or $0.51 per diluted share for the same period last year.
"As we announced in early December, the second quarter was more challenging than we had targeted with lower LED chip sales," stated Chuck Swoboda, Cree Chairman and CEO. "Despite the challenges in the LED chip business, we continued to make progress on our strategy to expand our business by leveraging our strengths in LED chip and SiC materials technology to broaden our product line with higher-value, component-level products for the emerging markets in LED lighting and power. Our new product lines delivered double-digit growth in Q2, with LED component sales increasing to more than 10% of total LED revenue for the first time. The growth in these new product lines is an important, leading indicator of how we plan to grow the company over the next several years."
