IXYS Announces Record Revenues and Backlog In June Quarter
IXYS Corp. reported record net revenues of $75.9 million for the first fiscal quarter ended June 30, 2007, an increase of 12.0%, as compared with net revenues of $67.7 million for the same period in the prior fiscal year. This is the sixth quarter of consecutive revenue growth for the company.
"Strong revenues reflect the strength and breadth of our business lines, with technologies that extend across global sectors," stated Dr. Nathan Zommer, President and CEO of IXYS. "Our semiconductor business is focused on our high-margin core competencies: industrial, medical and telecom, in which we have long-standing customer relationships. Simultaneously, we expanded our reach to address the power efficiency demands of consumers and power-intensive industries."
Zommer continued, "High demand in our products during the quarter resulted in a record backlog of $109 million and a book-to-bill ratio of 1.06. We also experienced a sequential significant increase in our gross margins. We continue to invest in R&D and our efforts to increase our gross profit margins are starting to pay off. Our performance demonstrates our growth business mode as we report six consecutive quarters of revenue growth, the last four of which were record revenue quarters."
Gross profit was $22.4 million, or 29.5% of net revenues, for the quarter ended June 30, 2007, as compared to gross profit of $21.9 million, or 32.3% of net revenues, for the same quarter in the prior fiscal year.
Net income for the quarter ended June 30, 2007, was $7.0 million, or $0.21 per diluted share, as compared to $24.3 million, or $0.68 per diluted share, for the same quarter in the prior fiscal year.
The results for the quarter ended June 30, 2007, and for the same quarter in the prior fiscal year, included credit adjustments of $4.8 million and $36.8 million, respectively, to record the court’s reduction of awards previously made to LoJack Corporation and the impact of various adjustments to deferred tax assets, which are in the nature of one-time events. Excluding the impact of these adjustments in the respective quarters, net income for the quarter ended June 30, 2007 would have been $4.3 million, or $0.13 per share, diluted, as compared to what would have been a net income of $2.6 million, or $0.07 per diluted share, for the same quarter in the prior fiscal year.
"We plan to continue buying back shares under our authorized stock buyback program," commented Uzi Sasson, COO and CFO. "Looking forward, we continue to work on improving margins, reducing costs, and building more customer relationships, with the expectation for further company growth. That being said, we typically experience some cyclical weakness during the summer months, especially in Europe. We therefore project revenues for the September 2007 quarter to be relatively flat as compared to the June quarter."