Siliconix Reports Financial Results for Year 2000
Siliconix Inc. (Santa Clara, CA) announced that net income for the year ended December 31, 2000 was a record $107.6 million, or $3.60 per share, an increase of 63 percent over the $66.1 million, or $2.21 per share, achieved in 1999. Net sales in 2000 were a record $473.1 million, a 23 percent increase over the $383.3 million sales for 1999.
The results for the fourth quarter were consistent with the guidance Siliconix provided in December 2000. Net income in the fourth quarter of 2000 was $23.7 million, or $0.79 per share, 3 percent below the $24.4 million net income, or $0.82 per share, in the fourth quarter of 1999, and 19 percent below the net income of $29.3 million, or $0.98 per share, for the third quarter of 2000. Net sales in the fourth quarter of 2000 were $111.6 million, a one-percent increase over the $110.1 million sales for the last quarter of 1999 and a 12 percent decrease from the $126.7 million result for the third quarter of 2000.
The gross margin for the fourth quarter of 2000 decreased slightly to 42 percent, compared to 45 percent for the fourth quarter of 1999 and 46 percent for the third quarter of 2000. Although Siliconix reduced its fixed costs sequentially from the third quarter with increased manufacturing efficiencies and cost reductions, the company believes that reduced revenue levels for the fourth quarter caused the small decline in margin. Research and development expenses were held at 4.3 percent for the quarter.
Siliconix President and CEO Dr. King Owyang commented, "The current business environment generally remains challenging. We are therefore expecting shipments for the first half of 2001 to be lower than shipments in the second half of year 2000. We do expect an upturn in the second half of 2001." He added, “We believe that our corporate positioning remains strategically sound, and are committed to maintaining our cost reduction programs while staying focused on the telecommunications, portable computer and automotive markets."