Xilinx Announces Q2 Fiscal 2013 Results

Oct 17, 2012, 16:20 ET from Xilinx, Inc.

SAN JOSE, Calif., Oct. 17, 2012 /PRNewswire-FirstCall/ -- Xilinx, Inc. (Nasdaq: XLNX) today announced second quarter fiscal 2013 sales of $543.9 million, down 7% sequentially and down 2% from the second quarter of the prior fiscal year.  Second quarter fiscal 2013 net income was $123.4 million, or $0.46 per diluted share. 

(Logo: http://photos.prnewswire.com/prnh/20020822/XLNXLOGO)

The Xilinx Board of Directors announced a quarterly cash dividend of $0.22 per outstanding share of common stock, payable on November 28, 2012 to all stockholders of record at the close of business on November 7, 2012.

Additional second quarter comparisons are represented in the charts below:

GAAP Results

(In millions, except EPS)

Growth Rates

Q2

FY 2013

Q1

FY 2013

Q2

FY 2012

Q-T-Q

Y-T-Y

Net revenues

$

543.9

$

582.8

$

555.2

(7)

%

(2)

%

Operating income

$

148.1

$

164.6

$

154.8

(10)

%

(4)

%

Net income

$

123.4

$

129.8

$

126.3

(5)

%

(2)

%

Diluted earnings per share

$

0.46

$

0.47

$

0.47

(2)

%

(2)

%

"Sales from our industry-leading, All Programmable 28-nm products exceeded $20 million during the quarter with sales from all five family members.  Our 28-nm product portfolio is the industry's broadest; and design win activity for all five family members continues to be exceptionally strong across a broad base of end markets and applications.  This is particularly impressive given the backdrop of a challenging macroeconomic environment," said Moshe Gavrielov, Xilinx President and Chief Executive Officer.   "With All Programmable FPGAs, SoCs, and 3D ICs available today, leadership in performance, power and integration and unmatched productivity gains with Vivado™ Design Suite, Xilinx is unequivocally a generation ahead at 28-nm."

Net Revenues by Geography:

Percentages

Growth Rates

Q2

FY 2013

Q1

FY 2013

Q2

FY 2012

Q-T-Q

Y-T-Y

North America

28

%

30

%

29

%

(11)

%

(5)

%

Asia Pacific

36

%

35

%

31

%

(4)

%

14

%

Europe

26

%

26

%

29

%

(8)

%

(13)

%

Japan

10

%

9

%

11

%

%

(9)

%

 

Net Revenues by End Market:

Percentages

Growth Rates

Q2

FY 2013

Q1

FY 2013

Q2

FY 2012

Q-T-Q

Y-T-Y

Communications & Data Center

49

%

45

%

46

%

3

%

5

%

Industrial, Aerospace & Defense

32

%

34

%

33

%

(13)

%

(8)

%

Broadcast, Consumer & Automotive

15

%

16

%

16

%

(15)

%

(5)

%

Other

4

%

5

%

5

%

(24)

%

(17)

%

 

Net Revenues by Product:

Percentages

Growth Rates

Q2

FY 2013

Q1

FY 2013

Q2

FY 2012

Q-T-Q

Y-T-Y

New

20

%

17

%

11

%

7

%

81

%

Mainstream

47

%

43

%

49

%

3

%

(5)

%

Base

29

%

36

%

36

%

(24)

%

(21)

%

Support

4

%

4

%

4

%

(8)

%

(14)

%

Products are classified as follows:

New products: Virtex®‐7, Kintex™‐7, Zynq™-7000, Artix™ - 7, Virtex‐6, Spartan™‐6, products Mainstream products: Virtex‐5, Spartan‐3 and CoolRunner™‐II products Base products: Virtex‐4, Virtex‐II, Virtex‐E, Virtex, Spartan-II, Spartan, CoolRunner and XC9500 products Support products: Configuration solutions, HardWire, Software & Support/Services

 

Key Statistics:

(Dollars in millions)

Q2

FY 2013

Q1

FY 2013

Q2

FY 2012

Annual Return on Equity (%)*

19

19

23

Operating Cash Flow

$

197

$

163

$

200

Depreciation Expense

$

14

$

15

$

13

Capital Expenditures

$

8

$

8

$

18

Combined Inventory Days

109

99

126

Revenue Turns (%)

57

55

51

 * Return on equity calculation:  Annualized net income/average stockholders' equity

Highlights - September Quarter Fiscal 2013

  • Xilinx announced the acquisition of substantially all of the assets of two companies during the quarter:   Modesat Communications and PetaLogix.  The acquisition of Modesat, a high performance wireless backhaul solutions provider, allows customers to retain their proprietary IP, while leveraging the backhaul solutions and the flexibility of Xilinx All Programmable FPGAs and SoC devices to achieve faster time-to-market.  The acquisition of PetaLogix, an embedded Linux solutions provider, enables Xilinx to strengthen its capabilities and commitment to customers to provide the best Linux solutions possible.
  • Xilinx remains committed to delivering stockholder value.   In spite of a challenging macroeconomic environment, Xilinx generated nearly $200 million in operating cash flow during the quarter, paid $57 million in dividends to stockholders and repurchased 2.5 million shares. 

Business Outlook - December Quarter Fiscal 2013 

  • Sales are expected to be down 1% to down 5% sequentially.
  • Gross margin is expected to be approximately 66%.
  • Operating expenses are expected to be approximately $224 million, including $3 million of amortization of acquisition-related intangibles.
  • Other income and expense is expected to be an expense of approximately $7 million.
  • Fully diluted share count is expected to be approximately 269 million.
  • Full year fiscal 2013 tax rate is expected to be approximately 15%.

Conference Call

A conference call will be held today at 2:00 p.m. Pacific Time to discuss the second quarter financial 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 (855) 859-2056 and referencing confirmation code 30459116. The telephonic replay will be available for two weeks following the live call. 

This release contains forward-looking statements and projections. Forward-looking statements and projections can often be identified by the use of forward-looking words such as "expect," "believe,"  "may," "will," "could," "anticipate," "estimate," "continue," "plan," "intend," "project" or other similar expressions.  Statements that refer to or are based on projections, uncertain events or assumptions also identify forward-looking statements.  Such forward looking statements include, but are not limited to, statements related to the semiconductor market, the growth and acceptance of our programmable platforms, expected revenue growth, the demand and growth in the markets we serve, opportunity for expansion into new markets, and our expectations regarding our business outlook for the December quarter for fiscal 2013.  Undue reliance should not be placed on such forward-looking statements and projections, which speak only as of the date they are made. We undertake no obligation to update such forward-looking statements.  Actual events and results may differ materially from those in the forward-looking statements and are subject to risks and uncertainties including customer acceptance of our new products, current global economic conditions, the health of our customers and the end markets in which they participate, our ability to forecast end customer demand, a high dependence on turns business, more customer volume discounts than expected, greater product mix changes than anticipated, fluctuations in manufacturing yields, our ability to deliver product in a timely manner, our ability to successfully manage production at multiple foundries, variability in wafer pricing, and other risk factors listed in our most recent Forms 10-Q and 10-K.

About Xilinx

Xilinx develops All Programmable technologies and devices, beyond hardware to software, digital to analog, and single to multiple die in 3D ICs.  These industry leading devices are coupled with a next-generation design environment and IP to serve a broad range of customer needs, from programmable logic to programmable systems integration.  For more information visit www.xilinx.com.

#1279F

Xilinx, the Xilinx logo, Artix, ISE, Kintex, Spartan, Virtex, Zynq, Vivado, and other designated brands included herein are trademarks of Xilinx in the United States and other countries. All other trademarks are the property of their respective owners.

XLNX-F

 

Investor Relations Contact: Lori Owen Xilinx, Inc. (408) 879-6911 lori.owen@xilinx.com

 

 

 

XILINX, INC.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

(In thousands, except per share amounts)

Three Months Ended

Six Months Ended

September 29, 2012

June 30, 2012

October 1, 2011

September 29, 2012

October 1, 2011

Net revenues

$                    543,933

$          582,784

$             555,209

$                 1,126,717

$          1,170,672

Cost of revenues

187,713

198,411

200,564

386,124

423,696

Gross margin

356,220

384,373

354,645

740,593

746,976

Operating expenses:

Research and development

113,887

121,447

105,774

235,334

211,791

Selling, general and administrative

91,928

96,201

88,681

188,129

185,077

Amortization of acquisition-related intangibles

2,319

2,148

1,982

4,467

3,605

Restructuring charges

-

-

3,369

-

3,369

Total operating expenses

208,134

219,796

199,806

427,930

403,842

Operating income

148,086

164,577

154,839

312,663

343,134

Interest and other expense, net

10,003

9,672

8,598

19,675

16,409

Income before income taxes

138,083

154,905

146,241

292,988

326,725

Provision for income taxes

14,646

25,074

19,955

39,720

46,065

Net income

$                    123,437

$          129,831

$             126,286

$                    253,268

$             280,660

Net income per common share:

Basic

$                          0.47

$                0.49

$                   0.48

$                          0.97

$                   1.06

Diluted

$                          0.46

$                0.47

$                   0.47

$                          0.93

$                   1.03

Cash dividends per common share

$                          0.22

$                0.22

$                   0.19

$                          0.44

$                   0.38

Shares used in per share calculations:

Basic

260,605

263,055

264,006

262,143

264,853

Diluted

270,265

273,820

267,927

272,182

273,009

 

 

 

XILINX, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands)

September 29, 2012

March 31, 2012 *

(unaudited)

ASSETS

Current assets:

Cash, cash equivalents and short-term investments

$                 1,706,457

$             1,917,627

Accounts receivable, net

222,269

214,965

Inventories

204,067

204,866

Deferred tax assets and other current assets

117,265

112,851

Total current assets

2,250,058

2,450,309

Net property, plant and equipment

382,206

394,982

Long-term investments

1,497,394

1,209,228

Other assets

418,976

409,603

Total Assets

$                 4,548,634

$             4,464,122

LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities:

Accounts payable and accrued  liabilities

$                    294,689

$                275,774

Deferred income on shipments to distributors

47,967

67,002

Total current liabilities

342,656

342,776

Convertible debentures

915,109

906,569

Deferred tax liabilities

499,709

463,045

Other long-term liabilities

39,469

44,047

Stockholders' equity

2,751,691

2,707,685

Total Liabilities and Stockholders' Equity

$                 4,548,634

$             4,464,122

* Derived from audited financial statements

 

 

 

XILINX, INC.

SUPPLEMENTAL FINANCIAL INFORMATION

(Unaudited)

(In thousands)

Three Months Ended

Six Months Ended

September 29, 2012

June 30, 2012

October 1, 2011

September 29, 2012

October 1, 2011

SELECTED CASH FLOW INFORMATION:

Depreciation

$                      14,151

$            14,603

$               13,396

$                      28,754

$               27,094

Amortization

4,188

4,267

4,326

8,455

8,036

Stock-based compensation

19,246

17,608

16,899

36,854

30,666

Net cash provided by operating activities

197,370

162,946

199,584

360,316

437,278

Purchases of property, plant and equipment

7,636

8,342

17,628

15,978

31,417

Payment of dividends to stockholders

57,255

58,066

50,348

115,321

100,804

Repurchases of common stock

87,441

90,707

111,537

178,148

177,191

Proceeds from issuance of common stock to employees and excess tax benefit

28,627

9,027

28,369

37,654

59,819

STOCK-BASED COMPENSATION INCLUDED IN:

Cost of revenues

$                        1,473

$              1,728

$                 1,284

$                        3,201

$                 2,594

Research and development

9,404

8,623

8,103

18,027

14,590

Selling, general and administrative

8,369

7,257

7,512

15,626

13,482

 

SOURCE Xilinx, Inc.



RELATED LINKS

http://www.xilinx.com