SANTA CLARA, Calif.,
May 2, 2011 /PRNewswire/ -- Advanced
Analogic Technologies, Inc. ("AnalogicTech" or the "Company")
(Nasdaq: AATI), an analog semiconductor company focused on
powering innovative solutions in consumer electronics, computing,
and communications markets, today reported financial results for
the first quarter ended March 31,
2011.
(Logo:
http://photos.prnewswire.com/prnh/20050829/SFTU089LOGO)
Net revenue for the first quarter of 2011 was $20.5 million, compared to net revenue of
$21.9 million for the first quarter
of 2010, and $24.0 million for the
fourth quarter of 2010.
In accordance with U.S. generally accepted accounting principles
(GAAP), net loss for the first quarter of 2011 was $7.7 million, or $0.18 per diluted share, including non-recurring
charges for patent litigation and severance-related expenses. This
compares to a GAAP net loss of $4.2
million, or $0.10 per diluted
share, for the first quarter of 2010 and a GAAP net loss of
$3.3 million, or $0.08 per diluted share, for the fourth quarter
of 2010.
On a non-GAAP basis, net loss for the first quarter of 2011 was
$4.7 million, or $0.11 per diluted share, including a one-time
charge for patent litigation. This compares to a non-GAAP net
loss of $2.9 million, or $0.07 per diluted share, for the first quarter of
2010, and a non-GAAP net loss of $1.8
million, or $0.04 per diluted
share, for the fourth quarter of 2010.
Please refer to the tables below for reconciliation between GAAP
and non-GAAP financial measures.
AnalogicTech reported gross profit of 42.8% for the first
quarter of 2011, compared to 48.4% for the first quarter of 2010
and 42.8% for the fourth quarter of 2010. Non-GAAP gross
profit was 43.0% for the first quarter of 2011, compared to 48.7%
for the first quarter of 2010 and 43.1% for the fourth quarter of
2010. The Company ended the quarter with $85.9 million in cash, cash equivalents, and
short-term investments.
"We are making strong progress on improving productivity and
reducing costs, and with the actions we have taken through the end
of the first quarter, we have reduced our quarterly expenses by
more than $2 million from the peak
level in 2010," stated Richard K.
Williams, President, CEO and CTO of AnalogicTech. "We
implemented these changes in order to return to sustained
profitability without sacrificing growth or product
innovation."
"While driving toward profitability, we continued to advance our
diversification strategy, successfully gaining traction in newer
end markets such as large screen LCD TVs, low-power computing, and
GreenPower. We believe that we are positioned for increasing
contributions from these market segments during the second half of
2011," concluded Mr. Williams.
Business Outlook
The following statements are based upon management's current
expectations. These statements are forward-looking, and actual
results may differ materially. AnalogicTech undertakes no
obligation to update these statements.
For the second quarter of 2011, AnalogicTech estimates net
revenue in the range of $24.0 million to
$26.0 million, and a net loss in the range of $0.04 to $0.02 per diluted share on a GAAP basis.
The second quarter 2011 estimates include pre-tax quarterly
stock-based compensation expense of approximately $1.1 million.
Non-GAAP Reporting
In addition to GAAP reporting, AnalogicTech reports net loss,
gross profit and net loss per diluted share on a non-GAAP basis.
This non-GAAP earnings information excludes certain items and their
tax-related effects. AnalogicTech believes this non-GAAP earnings
information provides meaningful insight into the Company's ongoing
operational performance and has therefore chosen to provide this
information to investors as an additional dimension of
comparability to similar companies. AnalogicTech also uses this
information internally to evaluate and manage company operations
and to determine incentive compensation. Reconciliation between
GAAP and non-GAAP net loss, gross profit and loss per diluted share
is included in the tables below.
The non-GAAP information included in this press release is not
necessarily comparable to non-GAAP information of other companies.
Non-GAAP information should not be viewed as a substitute for, or
superior to, net income or other data prepared in accordance with
GAAP as measures of our profitability or liquidity. Users of this
financial information should consider the types of events and
transactions for which adjustments have been made.
Conference Call Details
The AnalogicTech first quarter 2011 teleconference and webcast
is scheduled to begin at 4:30 p.m. Eastern
Time on Monday, May 2, 2011.
To participate in the live call, analysts and investors
should dial 877-941-2069 or 480-629-9713 at least ten minutes prior
to the call. AnalogicTech will also offer a live and archived
webcast of the conference call, accessible from the company's
investor relations website at http://www.aati.com in the "Webcasts"
section. A telephonic replay of the conference call will also
be available through May 9, 2011, by
dialing 800-406-7325 and entering the passcode 4431232#. Callers
outside the U.S. and Canada may
access the replay by dialing 303-590-3030 and entering the passcode
4431232#.
About Advanced Analogic Technologies, Inc.:
Advanced Analogic Technologies, Inc. (AATI) develops advanced
semiconductor system solutions that play a key role in the
continuing evolution of feature-rich, energy efficient electronic
devices. The company focuses on addressing the application-specific
power management needs of consumer devices such as mobile handsets,
digital cameras, and netbooks/notebooks, as well as devices in a
broad range of industrial, medical and telecom applications. AATI
also licenses device, process, package, and application-related
technologies. Headquartered in Silicon Valley, AATI has design
centers in Santa Clara and
Shanghai, and Asia-based operations and logistics. For more
information, please visit 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, 2010. 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.
CONDENSED
CONSOLIDATED BALANCE SHEETS
|
|
(unaudited)
|
|
(in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mar.
31,
|
|
Dec.
31,
|
|
|
|
|
|
|
2011
|
|
2010
(*)
|
|
ASSETS
|
|
|
|
|
|
|
|
CURRENT ASSETS
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$ 14,945
|
|
$ 37,158
|
|
|
|
Short-term
investments
|
|
70,923
|
|
50,245
|
|
|
|
|
Total cash, cash equivalents and
short term investments
|
|
85,868
|
|
87,403
|
|
|
|
Accounts receivable, net of
allowances
|
|
12,789
|
|
13,629
|
|
|
|
Inventories
|
|
11,155
|
|
11,390
|
|
|
|
Prepaid expenses and other
current assets
|
|
1,978
|
|
1,803
|
|
|
|
|
Total current assets
|
|
111,790
|
|
114,225
|
|
|
Property and equipment,
net
|
|
5,008
|
|
5,061
|
|
|
Other assets
|
|
2,943
|
|
3,182
|
|
|
Deferred income taxes
|
|
188
|
|
188
|
|
|
Intangible assets,
net
|
|
33
|
|
50
|
|
|
Goodwill
|
|
|
16,116
|
|
16,116
|
|
|
|
|
|
|
|
|
|
|
TOTAL ASSETS
|
|
$ 136,078
|
|
$ 138,822
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS'
EQUITY
|
|
|
|
|
|
|
CURRENT LIABILITIES
|
|
|
|
|
|
|
|
Accounts payable
|
|
$ 9,293
|
|
$ 9,315
|
|
|
|
Accrued liabilities
|
|
6,688
|
|
4,481
|
|
|
|
Income tax payable
|
|
125
|
|
146
|
|
|
|
|
Total current
liabilities
|
|
16,106
|
|
13,942
|
|
|
Long-term income tax
payable
|
|
2,327
|
|
2,221
|
|
|
Other long-term
liabilities
|
|
298
|
|
297
|
|
|
|
|
Total liabilities
|
|
18,731
|
|
16,460
|
|
|
|
|
|
|
|
|
|
|
|
Total stockholders'
equity
|
|
117,347
|
|
122,362
|
|
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
$ 136,078
|
|
$ 138,822
|
|
|
|
|
|
|
|
|
|
|
* Amounts as of December 31,
2010 were derived from the December 31, 2010 audited
consolidated
|
|
financial
statements.
|
|
|
|
|
|
|
|
|
|
CONDENSED
CONSOLIDATED STATEMENT OF OPERATIONS
|
|
(in
thousands, except per share amounts)
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
|
Mar.
31,
|
|
Mar.
31,
|
|
Dec.
31,
|
|
|
|
|
2011
|
|
2010
|
|
2010
|
|
|
|
|
|
|
|
|
|
|
NET REVENUE
|
|
$ 20,486
|
|
$ 21,918
|
|
$ 24,015
|
|
|
Cost of revenue
|
|
11,723
|
|
11,315
|
|
13,725
|
|
GROSS PROFIT
|
|
8,763
|
|
10,603
|
|
10,290
|
|
|
|
|
|
|
|
|
|
|
OPERATING EXPENSES:
|
|
|
|
|
|
|
|
|
Research and
development
|
|
6,468
|
|
7,102
|
|
6,709
|
|
|
Sales, general and
administrative
|
|
7,604
|
|
6,161
|
|
6,237
|
|
|
Patent litigation
|
|
2,183
|
|
1,084
|
|
125
|
|
Total operating
expenses
|
|
16,255
|
|
14,347
|
|
13,071
|
|
|
|
|
|
|
|
|
|
|
LOSS FROM OPERATIONS
|
|
(7,492)
|
|
(3,744)
|
|
(2,781)
|
|
|
|
|
|
|
|
|
|
|
INTEREST AND OTHER INCOME
(EXPENSE), NET
|
|
(31)
|
|
69
|
|
(2)
|
|
|
|
|
|
|
|
|
|
|
LOSS BEFORE INCOME
TAXES
|
|
(7,523)
|
|
(3,675)
|
|
(2,783)
|
|
PROVISION FOR INCOME
TAXES
|
|
171
|
|
529
|
|
561
|
|
NET LOSS
|
|
$ (7,694)
|
|
$ (4,204)
|
|
$ (3,344)
|
|
|
|
|
|
|
|
|
|
|
NET LOSS PER SHARE:
|
|
|
|
|
|
|
|
|
Basic
|
|
$ (0.18)
|
|
$ (0.10)
|
|
$ (0.08)
|
|
|
Diluted
|
|
$ (0.18)
|
|
$ (0.10)
|
|
$ (0.08)
|
|
|
|
|
|
|
|
|
|
|
WEIGHTED AVERAGE SHARES USED
IN
|
|
|
|
|
|
|
|
|
NET LOSS PER SHARE
CALCULATION:
|
|
|
|
|
|
|
|
|
Basic
|
|
42,517
|
|
42,960
|
|
42,252
|
|
|
Diluted
|
|
42,517
|
|
42,960
|
|
42,252
|
|
|
|
|
|
|
|
|
|
|
|
Note: Stock-based compensation
recorded
|
|
|
|
|
|
|
|
|
in each expense classification
above is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenue
|
|
$
54
|
|
$
72
|
|
$
68
|
|
|
Research and
development
|
|
465
|
|
578
|
|
469
|
|
|
Sales, general and
administrative
|
|
1,450
|
|
665
|
|
688
|
|
|
|
|
$ 1,969
|
|
$ 1,315
|
|
$ 1,225
|
|
|
|
|
|
|
|
|
|
Financial
Summary (Non-GAAP)
|
|
(unaudited)
|
|
(in
thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
GAAP TO NON-GAAP
RECONCILIATION
|
|
Mar.
31,
|
|
Mar.
31,
|
|
|
Dec.
31,
|
|
|
|
|
2011
|
|
2010
|
|
|
2010
|
|
GROSS MARGIN:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP GROSS MARGIN
|
|
$ 8,763
|
|
$ 10,603
|
|
|
$ 10,290
|
|
GAAP GROSS MARGIN %
|
|
42.8%
|
|
48.4%
|
|
|
42.8%
|
|
Stock-based
compensation
|
|
54
|
|
72
|
|
|
68
|
|
NON-GAAP GROSS MARGIN
|
|
8,817
|
|
10,675
|
|
|
10,358
|
|
NON-GAAP GROSS MARGIN
%
|
|
43.0%
|
|
48.7%
|
|
|
43.1%
|
|
|
|
|
|
|
|
|
|
|
|
NET LOSS:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET LOSS ON GAAP
BASIS:
|
|
$ (7,694)
|
|
$ (4,204)
|
|
|
$ (3,344)
|
|
|
Stock-based
compensation
|
|
1,969
|
|
1,315
|
|
|
1,225
|
|
|
Foreign tax reserve
adjustment
|
|
-
|
|
-
|
|
|
304
|
|
|
Restructuring and other
severance expenses
|
|
1,070
|
|
-
|
|
|
-
|
|
|
Total adjustments
|
|
3,039
|
|
1,315
|
|
|
1,529
|
|
NET LOSS ON NON-GAAP
BASIS:
|
|
$ (4,655)
|
|
$ (2,889)
|
|
|
$ (1,815)
|
|
|
|
|
|
|
|
|
|
|
|
EPS:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP EPS, DILUTED
|
|
$ (0.18)
|
|
$ (0.10)
|
|
|
$ (0.08)
|
|
NON-GAAP EPS, DILUTED
|
|
$ (0.11)
|
|
$ (0.07)
|
|
|
$ (0.04)
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares used to
calculate Non-GAAP diluted EPS:
|
|
42,517
|
|
42,960
|
|
|
42,252
|
|
|
|
|
|
|
|
|
|
|
SOURCE Advanced Analogic Technologies, Inc.