Fairchild Semiconductor (San Jose, CA) reported its results for the first quarter of 2001, ended April 1, 2001. Revenues were $385.3 million, down 18 percent sequentially from the fourth quarter of 2000. Trade sales were roughly flat from the first quarter of 2000. First quarter adjusted net income was $26.1 million, or $0.26 per fully diluted share of common stock, as compared to $52.6 million, or $0.53 per diluted share in the first quarter of 2000. First quarter gross margins were 30.7 percent.
During the quarter, the company had a non-recurring charge of $22.3 million. This charge was primarily for in-process research and development associated with the acquisition of Intersil's (Irvine, CA) discrete power products business and restructuring expenses associated with the consolidation of a wafer fabrication line. Including amortization of acquisition-related intangibles and non-recurring items, the company reported first-quarter net income of $1.6 million, or $0.02 per diluted share, compared to net income of $50.0 million, or $0.51 per diluted share in the first quarter of 2000. Operating margins before non-recurring charges were 10.6 percent.
Chairman, President and CEO Kirk Pond commented, “Fairchild continues to win market share, improve our competitive position and control costs during this tough period." He added, “We introduced more than 90 new products this quarter, with more than 65 percent of those targeting power applications. Our new products sales remained strong at 31 percent of total trade sales." Pond concluded, “While we remain very positive in our long-term outlook and competitive position, we remain cautious in our outlook for the next quarter or two."
