Xilinx Announces 2014 Fiscal Q3 Results; 28nm Sales Reach $100 Million

SAN JOSE, Calif., Jan. 21, 2014 /PRNewswire/ -- Xilinx, Inc. (Nasdaq: XLNX) today announced third quarter fiscal 2014 sales of $587 million, down 2% from the prior quarter and up 15% from the same quarter of the prior fiscal year.  Third quarter fiscal 2014 net income was $176 million or $0.61 per diluted share; including the reversal of a litigation reserve with a net impact of $19 million, or $0.06 per diluted share.

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The Xilinx Board of Directors announced a quarterly cash dividend of $0.25 per outstanding share of common stock, payable on February 27, 2014 to all stockholders of record at the close of business on February 6, 2014.

Additional third quarter comparisons are represented in the charts below:

"Sales from Xilinx's 28nm products were $100 million in the December quarter, driven by particularly strong and broad-based Kintex™-7 sales.  Sales from the Zynq™-7000 product family were also strong during the quarter, more than doubling sequentially, as key designs in wireless communication, industrial and aerospace and defense applications commenced production," said Moshe Gavrielov, Xilinx President and Chief Executive Officer.   "The phenomenal success of our 28nm product families has driven Xilinx PLD share gains for the second consecutive calendar year." 

Products are classified as follows:

New products: Virtex®‐7, Kintex‐7, Artix™-7, Zynq-7000, 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

Highlights – December Quarter Fiscal 2014

• Xilinx shipped the industry's first 20nm product in November 2013, continuing to execute on an aggressive rollout of its All Programmable UltraScale™ portfolio. The UltraScale product portfolio delivers the industry's only ASIC-class programmable architecture and extends Xilinx's market leading Kintex, and Virtex FPGA and 3D IC families. When combined with Vivado™ and the recently introduced UltraFast™ design methodology, Ultrascale devices enable next generation smarter systems such as 400G OTN, WCDMA Radio, and Intelligence Surveillance and Reconnaissance and high performance computing applications for the data center.
  
  
• Xilinx announced a record breaking 4.4M logic cell device, more than doubling its industry leading highest capacity Virtex-7 device. This is Xilinx's second generation Stacked Silicon Interconnect technology built on TSMC's CoWoS manufacturing technology, enabling Xilinx to deliver devices with 2-4X the capacity of competing devices and continue to stay ahead of what Moore's Law could otherwise offer.

Business Outlook – March Quarter Fiscal 2014

• Sales are expected to be up 2% to up 6% sequentially.
• Gross margin is expected to be approximately 68%.
• Operating expenses are expected to be approximately $226 million, including $2.5 million of amortization of acquisition-related intangibles.
• Other income and expenses are expected to be a net expense of approximately $7 million.
• Fully diluted share count is expected to be approximately 289 million.
• March quarter tax rate is expected to be approximately 13%.

Conference Call

A conference call will be held today at 2:00 p.m. Pacific Time to discuss the December quarter financial results and management's outlook for the March 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 30665781. 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 products, 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 March quarter of fiscal 2014.  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, costs and liabilities associated with current and future litigation, 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.

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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.

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