SAN JOSE, Calif., Oct. 14, 2009 -- Xilinx, Inc. (Nasdaq: XLNX) today announced second quarter fiscal 2010 sales of $415.0 million, up 10% sequentially and down 14% from the second quarter of the prior fiscal year. Second quarter net income was $64.0 million, or $0.23 per diluted share, including previously announced restructuring charges totaling $5.9 million, or approximately $0.02 per diluted share.
The Xilinx Board of Directors announced a $0.02 increase in the quarterly cash dividend to $0.16 per outstanding share of common stock, payable on November 24, 2009 to all stockholders of record at the close of business on November 4, 2009.
Additional second quarter comparisons are represented in the charts below:
GAAP Results
(In millions, except EPS)
Growth Rates
Q2 Q1 Q2
FY 2010 FY 2010 FY 2009(1) Q-T-Q Y-T-Y
------- ------- ---------- ----- -----
Net revenues $415.0 $376.2 $483.5 10% -14%
Operating income $82.1 $57.4 $124.6 43% -34%
Net income $64.0 $38.0 $81.1 68% -21%
Diluted earnings
per share $0.23 $0.14 $0.29 64% -21%
(1) As adjusted due to the retrospective adoption of the accounting
standard for convertible debentures in the first quarter of fiscal
2010.
Sales growth in the September quarter was driven by strength from all end markets and geographic regions. New Product sales increased 36% sequentially during the quarter due primarily to strong growth from the Virtex®-5 and Spartan®-3 FPGA families.
"I am encouraged by the broad-based recovery in our business," said Moshe Gavrielov, Xilinx President and Chief Executive Officer. "Strong sales growth coupled with continued operating expense control contributed to a significant improvement in operating margin. September quarter operating margin was 20%, up from 15% in the prior quarter."
Net Revenues by Geography:
Percentages Growth Rates
Q2 Q1 Q2
FY 2010 FY 2010 FY 2009 Q-T-Q Y-T-Y
------- ------- ------- ----- -----
North America 35% 35% 34% 12% -10%
Asia Pacific 35% 37% 32% 3% -8%
Europe 21% 20% 23% 15% -23%
Japan 9% 8% 11% 26% -23%
Net Revenues by End Market:
Percentages Growth Rates
Q2 Q1 Q2
FY 2010 FY 2010 FY 2009 Q-T-Q Y-T-Y
------- ------- ------- ----- -----
Communications 46% 49% 43% 4% -8%
Industrial & Other 31% 31% 32% 9% -17%
Consumer &
Automotive 16% 14% 17% 27% -22%
Data Processing 7% 6% 8% 31% -20%
Net Revenues by Product:
Percentages Growth Rates
Q2 Q1 Q2
FY 2010 FY 2010 FY 2009 Q-T-Q Y-T-Y
------- ------- ------- ----- -----
New 31% 25% 16% 36% 63%
Mainstream 33% 36% 37% 4% -22%
Base 31% 34% 42% -1% -37%
Support 5% 5% 5% 2% -23%
Products are classified as follows:
New Products: Virtex-6, Virtex-5, Spartan-6, Spartan-3A and Spartan-3E
product families
Mainstream Products: Virtex-4, Spartan-3, Spartan-II and CoolRunner(TM)-II
product families
Base Products: Virtex, Virtex-E, Virtex-II, Spartan, XC4000, CoolRunner
and XC9500 product families
Support Products: Configuration products, HardWire, Software &
Support/Services
Key Statistics:
(Dollars in millions)
Q2 Q1 Q2
FY 2010 FY 2010 FY 2009
------- ------- -------
Annual Return on Equity (%)* 10 8 17
Operating Cash Flow $118 $147 $95
Depreciation Expense $12 $13 $13
Capital Expenditures $4 $5 $12
Combined Inventory Days 75 78 93
Revenue Turns (%) 57 57 59
* Return on equity calculation: Annualized net income/average
stockholders' equity
Highlights -Second Quarter Fiscal 2010
-
Xilinx announced design support for Virtex-6 HXT FPGAs with Version 11.3 of the ISE® Design Suite software. Optimized for 40G/100G wired telecommunications and data communications, Virtex-6 HXT FPGAs deliver serial interface technology to designers of ultra-high bandwidth systems with line rates in excess of 11 Gigabits per second. As the leader in serial connectivity solutions for FPGAs, Xilinx estimates that it shipped over 75% of the PLD industry's FPGAs with embedded transceivers in the September quarter.
-
The Spartan-6 family continues to be the PLD industry's only 45nm high-volume FPGA family. Manufactured by Samsung, this family marks the first time transceiver capability and high-performance PCIe and memory controller blocks have been integrated into a 45nm low-cost FPGA fabric. These key technologies enable customers to make FPGA-based products and platforms that are lower power, lower cost and easier to use.
-
The Company's consistent profitability and cash flow generation--even during challenging economic conditions, led to the Board's recent decision to increase the quarterly cash dividend by $0.02 to $0.16 per common share. This is the fifth time Xilinx has increased its dividend since initiating the dividend program in April 2004.
Business Outlook - December Quarter Fiscal 2010
-
Sales are expected to be up approximately 6% to 10% sequentially.
-
Gross margin is expected to be approximately 62% to 63%.
-
Operating expenses are expected to be approximately $186 million, including $3 million in charges relating to restructuring activity announced on April 15, 2009.
-
Other income and expense is expected to be a net expense of approximately $1 million.
-
Fully diluted share count is expected to be approximately 278 million.
-
December quarter tax rate is expected to be approximately 19%.
Conference Call
A conference call will be held today at 2:00 p.m. Pacific Time to discuss the quarter's results and management's outlook for the December quarter. The webcast and subsequent replay will be available in the investor relations section of the company's web site at www.investor.xilinx.com. A telephonic replay of the call may be accessed later in the day by calling (800) 642-1687 and referencing confirmation code 32161500. The telephonic replay will be available for two weeks following the live call.
About Xilinx
Xilinx, Inc. (NASDAQ: XLNX) is the worldwide leader of programmable logic solutions. Additional information about Xilinx is available at http://www.xilinx.com.
