Volterra Reports Second Quarter 2007 Financial Results, Announces Stock Repurchase Program
Volterra Semiconductor Corp. reported financial results for its second quarter ended June 30, 2007. Net revenue for the second quarter of 2007 was $18.5 million versus net revenue of $17.6 million for the second quarter of 2006 and net revenue of $17.6 million for the first quarter of 2007. The company incurred a net loss of $2.5 million, or ($0.10) per share (diluted), for the second quarter of 2007, compared with net income of $1.2 million, or $0.05 per share (diluted), for the second quarter of 2006.
Volterra also reported net income (loss) and diluted net income (loss) per share on a non-GAAP basis. Non-GAAP net income (loss) excludes the effect of stock-based compensation expense, net of tax. Non-GAAP net loss was $1.7 million, or ($0.07) per share (diluted), for the second quarter of 2007, compared to non-GAAP net income of $2.2 million, or $0.09 per share (diluted), for the second quarter of 2006.
Volterra also announced that its Board of Directors has approved the repurchase of up to an aggregate of $15 million of its common stock. The repurchase program is expected to begin in August, and the repurchases will be made from time to time on the open market at prevailing market prices or in negotiated transactions off the market. The repurchases shall be made in compliance with applicable rules and regulations and may be made under a plan that complies with Rule 10b5-1 of the Securities Exchange Act of 1934, as amended.
"Our second quarter revenues and non-GAAP EPS were in the range that we expected, as revised in our June earnings update in which we discussed the recall and process defect issues we had experienced," said Volterra President and CEO Jeff Staszak. "We believe we have isolated the cause and contained the financial impact of the process defect which is reflected in this quarter’s financial results."
Regarding the company’s repurchase program, Staszak went on to say, "The challenges of the past quarters have not dimmed our prospects for growth in future design cycles. We believe, at current prices and based on the strong, long-term outlook for our business, our stock is undervalued and the repurchase program is the best available investment for our funds."
