Vicor Corp. reported its financial results for the quarter and year ended December 31, 2010. Revenues for the fourth fiscal quarter ended December 31, 2010, increased to $72,975,000, compared to $49,138,000 for the corresponding period a year ago, and increased from $68,672,000 for the third quarter of 2010. Gross margin increased to $32,984,000 for the fourth quarter of 2010, compared to $22,497,000 for the corresponding period a year ago and $32,473,000 for the third quarter of 2010. Gross margin, as a percentage of revenue, decreased to 45.2% for the fourth quarter of 2010 compared to 45.8% for the fourth quarter of 2009 and 47.3% for the third quarter of 2010. Net income for the fourth quarter was $10,807,000, or $0.26 per diluted share, compared to net income of $2,309,000, or $0.06 per diluted share, for the corresponding period a year ago and net income of $15,819,000, or $0.38 per diluted share, for the third quarter of 2010.
Revenues for the year ended December 31, 2010, increased by 26.7% to $250,733,000 from $197,959,000 for the prior year. Net income for the year was $33,325,000, or $0.80 per diluted share, compared to net income of $2,798,000 or $0.07 per diluted share, for the corresponding period a year ago.
During the third and fourth quarters of 2010, the Company recorded non-recurring, non-cash tax benefits of $5,158,000, or approximately $0.12 per diluted share, and $1,159,000, or approximately $0.03 per diluted share, respectively, due to the release of portions of its deferred tax valuation allowance. These tax benefits were partially offset by estimated federal, state and foreign income taxes on the company’s 2010 pre-tax income and estimated federal and state income taxes for certain non-controlling interests that are not part of the company’s consolidated income tax returns.
The consolidated book-to-bill ratio for the fourth quarter was 0.66, as compared to 1.02 for the third quarter of 2010. Total backlog at the end of the fourth quarter was $78,876,000, compared to $57,234,000, at the end of 2009.
Commenting on the company’s performance, Patrizio Vinciarelli, Chief Executive Officer, stated, "Vicor recognized a record level of quarterly revenue for the fourth quarter as a result of substantial bookings recorded earlier in the year. Consolidated revenue increased on a sequential basis by 6%, driven largely by a near doubling of V-I Chip™ shipments. Relative to a weak fourth quarter, bookings activity has thus far experienced a nearly 50% increase in the first quarter of 2011."
