News

ON Semiconductor Reports Increased Revenues

February 02, 2006 by Jeff Shepard

ON Semiconductor Corp. has announced that total revenues in the fourth quarter of 2005 were $341.8 million, an increase of about 9 percent from the third quarter of 2005.

During the fourth quarter of 2005, the company reported net income of $43.8 million. Fully diluted earnings per share for the fourth quarter of 2005 were $0.07 per share, which included a deemed dividend charge of approximately $0.06 per share, associated with a premium, in the form of inducement shares, for the conversion of the Series A cumulative preferred stock into common stock.

During the third quarter of 2005, the company reported net income of $23.5 million, or $0.06 per share on a fully diluted basis. On a mix-adjusted basis, average selling prices in the fourth quarter of 2005 were down approximately 2 percent from the third quarter of 2005. The company's gross margin in the fourth quarter was 35.0 percent, an increase of approximately 180 basis points as compared to the third quarter of 2005.

Earnings before interest, tax, depreciation and amortization (EBITDA) for the fourth quarter of 2005 was $76.8 million and included a $0.8 million restructuring, asset impairments and other benefit. EBITDA for the third quarter of 2005 was $65.4 million and included $0.2 million in restructuring, asset impairments and other charges.

"2005 was a significant year for the company," said Keith Jackson, ON Semiconductor president and CEO. "We exited the year with the highest gross margin and the first year of profitability since 2000. We also shipped record units during the fourth quarter at an annualized run rate of approximately 30 billion units. We look to continue to fuel our growth with new product designs and wins in the computing, consumer and wireless end-markets and are excited about our prospects for the upcoming year."

ON Semiconductor is a supplier of power solutions to engineers, purchasing professionals, distributors and contract manufacturers in the computer, cell phone, portable devices, automotive and industrial markets.