AnalogicTech Updates Fourth Quarter Guidance and Announces Cost Reduction Initiatives
December 11 2008 - 5:55PM
PR Newswire (US)
SANTA CLARA, Calif., Dec. 11 /PRNewswire-FirstCall/ -- Advanced
Analogic Technologies, Inc. ("AnalogicTech" or the "Company")
(NASDAQ:AATI), a developer of power management semiconductors for
mobile consumer electronic devices, today announced that its
financial results for the fourth quarter ending December 31, 2008
are expected to be below the Company's previous outlook. (Logo:
http://www.newscom.com/cgi-bin/prnh/20050829/SFTU089LOGO) Based
upon the Company's preliminary review of its financial performance
for the fourth quarter of 2008, AnalogicTech expects to report net
revenue of approximately $18.0 million. Net revenue, gross margin
and earnings per share are expected to be below the Company's
original forecast primarily due to lower sales across its end
markets, changes in product mix, restructuring charges and
potential impairment charges. As a result of continued
deterioration in business conditions, AnalogicTech will expand its
cost reduction initiatives and reduce its workforce by
approximately 12% by the end of December 2008. This reduction is in
response to the current macroeconomic environment and is one of
several broad-based cost cutting initiatives the Company is
pursuing. The resulting annual cost savings are expected to be
between $4.0 and $5.0 million. AnalogicTech expects to incur an
initial restructuring charge of approximately $0.8 to $1.2 million,
related to costs associated with employee severance and
restructuring expenses. Additionally, the Company will be
performing an impairment analysis of its goodwill and intangible
assets of approximately $17.0 million in the fourth quarter as
several indicators have been identified that suggest that a more
than temporary impairment might exist at this time. "The consumer
electronics market has been affected by the global economic crisis
and our business has not been immune to the downturn," stated
Richard K. Williams, President, CEO and CTO of AnalogicTech.
"Customer demand for our products across our end markets has been
weaker than expected, and we have accommodated customer requests to
reschedule shipments into 2009. As a result, we are taking the
necessary steps to control costs without impacting our product
design momentum or customer support. We expect the market to remain
challenging into 2009 and we will continue to tightly manage our
expenses. The streamlining of our operations combined with our
strong balance sheet, will enable us to take advantage our
leadership position once the market turns." AnalogicTech will
release financial results for the fourth quarter and full year 2008
and host a conference call for analysts and investors after the
market closes on February 5, 2009. Details for the conference call
will be announced prior to the date. For More Information Investor
Contacts: Brian McDonald Lisa Laukkanen Chief Financial Officer The
Blueshirt Group AnalogicTech 415-217-4967 408-737-4788 About
AnalogicTech Advanced Analogic Technologies, Inc. (AnalogicTech) is
a supplier of Total Power Management(TM) semiconductor solutions
for mobile consumer electronic devices, such as wireless handsets,
notebook and tablet computers, smartphones, digital cameras,
wireless LAN, and personal media players. The company focuses its
design and marketing efforts on the application-specific power
management needs of consumer, communications, and computing
applications in these rapidly evolving devices. AnalogicTech also
develops and licenses device, process, package, and
application-related technology. AnalogicTech is headquartered in
Santa Clara, California and Macau, S.A.R., with offices in China
(Beijing, Shanghai and Shenzhen), Hong Kong, Taiwan, Japan, South
Korea, Sweden, France and United Kingdom, as well as a worldwide
network of sales representatives and distributors. The company is
listed on the NASDAQ exchange under the ticker symbol AATI. For
more information, please visit the AnalogicTech website:
http://www.analogictech.com/. (AnalogicTech - F) "Safe Harbor"
Statement Under the Private Securities Litigation Reform Act of
1995 Statements contained in this release that are not historical
facts are forward-looking statements, as that term is defined in
the Private Securities Litigation Reform Act of 1995.
Forward-looking statements, including financial projections and
forecasts, involve risks and uncertainties that could cause
AnalogicTech's actual results to differ materially from our current
expectations. Factors that could cause AnalogicTech's results to
differ materially from those set forth in these forward-looking
statements include customers' cancellation or modification of their
orders; our failure to accurately forecast demand for our products;
the loss of, or a significant reduction in orders from, any of our
significant customers; consumer demand for cellular phones and
other mobile consumer electronic devices; worldwide economic and
political conditions, particularly in Asia; our ability to manage
inventory levels, fluctuations in our operating results; our
inability to develop and sell new products; defects in or failures
of our products; the expense and uncertainty involved in our
customer design-win efforts; the financial viability of the
distributors of our products; fluctuations in our costs to
manufacture our products; our reliance on third parties to
manufacture, test, assemble and ship our products; our ability to
retain and attract key personnel; our ability to compete with our
competitors; and our ability to protect our intellectual property
rights and not infringe the intellectual property rights of others.
Other factors that may cause our actual results to differ from
those set forth in the forward-looking statements contained in this
press release and that may affect our prospects in general are
described in our filings with the Securities and Exchange
Commission, including our Annual Report on Form 10-K for the year
ended December 31, 2007. AnalogicTech undertakes no obligation to
update or revise forward-looking statements to reflect subsequent
events or changed assumptions or circumstances. AnalogicTech and
the AnalogicTech logo are trademarks of Advanced Analogic
Technologies, Inc. All other brand and product names appearing in
this document are registered trademarks or trademarks of their
respective holders.
http://www.newscom.com/cgi-bin/prnh/20050829/SFTU089LOGO
http://photoarchive.ap.org/ DATASOURCE: Advanced Analogic
Technologies, Inc. CONTACT: Brian McDonald, Chief Financial Officer
of Advanced Analogic Technologies, Inc., +1-408-737-4788; or Lisa
Laukkanen of The Blueshirt Group, +1-415-217-4967, for Advanced
Analogic Technologies, Inc. Web site: http://www.analogictech.com/
Copyright
Advanced Analogic (NASDAQ:AATI)
Historical Stock Chart
From May 2024 to Jun 2024
Advanced Analogic (NASDAQ:AATI)
Historical Stock Chart
From Jun 2023 to Jun 2024