Semtech Corp. (Newbury Park, CA) announced results for its third quarter ended October 28, 2001, and a forecast for sequential sales growth and margin expansion in the fourth quarter.
Net sales for the third quarter of fiscal year 2002 were $43.7 million, up from second-quarter net sales of $40.5 million. Pro-forma gross margin was 55 percent for the third quarter of fiscal year 2002. Pro-forma net income for the third quarter of fiscal year 2002 was $7.7 million, or $0.10 per diluted share. Prior-year third-quarter net sales were $69.0 million, pro-forma gross margin was 57 percent, and pro-forma net income was $16.8 million, or $0.22 per diluted share.
For the first nine months of fiscal year 2002, net sales were $144.8 million, pro-forma gross margin was 56 percent, and pro-forma net income was $27.6 million, or $0.36 per diluted share. For the first nine months of the prior year, net sales were $187.1 million, pro-forma gross margin was 56 percent, and pro-forma net income was $42.6 million, or $0.56 per diluted share.
Jack Poe, chairman and CEO, said, "Third-quarter results demonstrated the benefits of Semtech's proprietary products, diverse end-markets and variable cost-manufacturing model. Despite continued weakness in the industry and worldwide economy, we achieved eight-percent sequential sales growth and increased gross margin by 100 basis points. Through aggressive cost reductions in the first half, operating expenses in the third quarter were down 16 percent compared to the prior year."
