Intersil Reports Third-Quarter Financial Results
Intersil Corp. (Irvine, CA) reported financial results for the quarter ended September 28, 2001. Sales were $113.4 million, a decline of 4.1 percent compared to the previous quarter but above previous guidance. Adjusted net income was $11.1 million, or $0.10 per diluted share of common stock, significantly surpassing consensus expectations. Including amortization and a one-time tax adjustment, the company recorded a net loss of $3.3 million.
Intersil's gross margins for the third quarter increased to 50.8 percent, a 50-basis point gain from the previous quarter, with improvement in both wireless access and communications analog. Intersil continues to maintain one of the strongest balance sheets in the industry, exiting the third quarter with approximately $624.0 million in cash and an eight-percent reduction in inventory during the quarter.
"Intersil's execution was outstanding during the quarter, particularly in our communications analog business where power management revenues grew 41 percent from the second quarter," said Intersil President and CEO Greg Williams. "Our overall book-to-bill ratio was greater than one, with orders up more than 26 percent from the previous quarter. Intersil improved gross margins and operating expenses, which contributed to growth in our earnings per share. We continue to outperform the overall semiconductor industry and we enter the fourth quarter optimistic about our future."