Xilinx Again Posts Record Quarterly Sales

SAN JOSE, Calif.—Programmable logic vendor Xilinx Inc. posted a net income of $148.5 million on record revenue of $529 million for the quarter ended April 3, beating consensus analyst expectations. It was the second consecutive quarter in which Xilinx recorded record quarterly sales. Sales improved by 3 percent sequentially and by 34 percent year-to-year, Xilinx (San Jose) said. Net income, which equated to 54 cents per share, improved by 39 percent compared to the previous quarter and by 90 percent compared with the year-ago quarter. For fiscal 2010, which also closed April 3, Xilinx reported sales of $1.83 billion, essentially flat with fiscal 2009. Fiscal 2010 net income decreased 1 percent to $357.5 million, or $1.29 per share, Xilinx said. The company's fiscal 2009 net income included a $75 million pre-tax gain on the extinguishment of convertible debt. Consensus analyst expectations had called for Xilinx to report sales of about $521.5 million for the fiscal fourth quarter, according to Yahoo Finance. Xilinx said it expects sales for the current quarter to be between $555.4 million and $576.6 million, which would be an increase of 5 to 9 percent sequentially. "In the next fiscal year and beyond, I believe Xilinx is uniquely positioned to capitalize on incremental growth opportunities afforded by our 28-nm leadership as well as our innovative platform-based architectures," said Moshe Gavrielov, Xilinx president and CEO, in a statement. Xilinx derived 36 percent of its revenue in the fiscal fourth quarter from sales of new products, including Virtex-6, Virtex-5, Spartan-6, Spartan-3A and Spartan-3E products, the company said. In the year-ago quarter, Xilinx derived 23 percent of its revenue from new product sales. The communications market accounted for 47 percent of Xilinx' sales in the fiscal first quarter, the same percentage derived from the communications market in the fourth quarter of fiscal 2009. In the fiscal third quarter, Xilinx derived 46 percent of its revenue from the communications market.