IXYS Reports Enthusiasm about Growth Prospects

IXYS Corporation today announced financial results for its fourth quarter and fiscal year ended March 31, 2016. Net revenues for the quarter were $79.8 million versus $82.9 million in net revenues for the same period in the prior fiscal year. Sequentially, March 2016 quarter net revenues were up $4.6 million, or 6.2%, from $75.1 million in the December 2015 quarter. For the twelve months ended March 31, 2016, IXYS reported net revenues of $317.2 million, as compared to net revenues of $338.8 million for the prior fiscal year.

“We intend to capitalize on the industry consolidation of the past year, and capture greater market share. Our organic growth initiatives (R&D spending, product portfolio expansion and ‘World of IXYS’ marketing/sales resources, are already having a positive impact,” stated Dr. Nathan Zommer, CEO and Founder of IXYS.

“During the March 2016 quarter, we noticed a resumption of upward revenue trends across nearly all product lines and most applications. IXYS benefits from a diverse customer base of more than 3,500 customers worldwide, many of which have started to restock their inventory,” Zommer commented. “Our organic growth initiatives and acquisitive strategies have already enticed new customers to seek out our technologies.”

Net income for the quarter ended March 31, 2016 was $6.2 million, or $0.19 per diluted share, as compared to net income of $7.8 million, or $0.24 per diluted share, for the same period in the prior fiscal year. Importantly, net income more than doubled sequentially, as December 2015 net income was $2.3, million or $0.07 per diluted share.

Net income for the twelve months ended March 31, 2016 was $14.7 million, or $0.46 per diluted share, as compared to net income of $23.7 million, or $0.74 per diluted share, for the prior fiscal year.

Gross profit for the quarter ended March 31, 2016 was $24.1 million, or 30.2% of net revenues, as compared to gross profit of $25.3 million, or 30.5% of net revenues, for the same quarter in the prior fiscal year. The gross profit margin has been in excess of 30% of net revenues for the past seven quarters.

Gross profit for the twelve months ended March 31, 2016 was $99.8 million, or 31.4% of net revenues, as compared to gross profit of $102.0 million, or 30.1% of net revenues, for the prior fiscal year. IXYS’ gross profit percentage increased by 130 basis points year-over-year.

“We are enthusiastic about growth prospects for IXYS in the coming year, as we are seeing more sales activity across geographies and markets. We are also pleased by the sustainability of our gross margins, which further validates our earlier decision to focus on higher margin product sales. In conjunction with sales, IXYS is equally committed to lowering operating expenses. We continue to focus on this two-pronged effort to further increase profitability,” said Mr. Uzi Sasson, President and Chief Financial Officer of IXYS. “Healthier macroeconomic conditions, and concurrent customer purchasing visibility, may be on the horizon. In this tenuously optimistic market, we expect revenues in the June 2016 quarter to increase slightly from the March 2016 results.”