Power Integrations Announces Second-Quarter Financial Results
Power Integrations announced financial results for the quarter ended June 30, 2008. The company’s net revenues for the quarter were $53.6 million, up 24% compared to $43.2 million in the second quarter of 2007, and up three% sequentially compared to $51.8 million in the first quarter of 2008.
Gross margin under generally accepted accounting principles (GAAP) was 53.7%. GAAP net income was $7.6 million, or $0.23 per diluted share, compared to $6.8 million or $0.22 per diluted share in the year-ago quarter and $7.2 million or $0.22 per diluted share in the first quarter of 2008.
On a non-GAAP basis, second-quarter gross margin was 54.6%. Net income on a non-GAAP basis was $10.7 million, or $0.33 per diluted share. This compares to non-GAAP net income of $9.2 million or $0.30 per share in the year-ago quarter, and $10.6 million or $0.33 per share in the first quarter of 2008.
The company ended the quarter with $237.9 million in cash and investments, an increase of $24.4 million during the quarter. Cash flow from operations totaled $15.6 million for the quarter. The company repurchased 108,900 shares of its stock during the quarter for a total of $3.4 million in cash. As of June 30, the company had used approximately $9 million of the $50 million share-repurchase authorization approved by its board of directors in February 2008.
"Second-quarter revenues were well within our guidance, and up 24% from a year ago, reflecting substantial market-share gains," said Balu Balakrishnan, President and CEO of Power Integrations. "Tighter energy-efficiency standards, higher raw-material prices and rising labor costs are tilting the economics of the power supply market in favor of more highly integrated designs, and we are clearly leading the way. Each of our core AC-DC product lines has been upgraded with significantly higher levels of integration and performance over the past two years, and we are on track to expand our addressable market with a series of new products targeting high-power applications."