IXYS Announces Results for the Third Fiscal Quarter Ended December 31, 2011

MILPITAS, Calif. & BIEL, Switzerland--()--IXYS Corporation (NASDAQ:IXYS), an international power semiconductor company, today announced results for its third fiscal quarter ended December 31, 2011. Net revenues in the quarter ended December 31, 2011 were $80.0 million, a decrease of $11.7 million, or 12.7%, as compared to net revenues of $91.7 million for the same period in the prior fiscal year.

For the nine months ended December 31, 2011, IXYS reported net revenues of $280.8 million, an increase of $14.3 million, or 5.4%, as compared to net revenues of $266.5 million for the same period in the prior fiscal year.

“Year-to-date revenues outperformed the prior comparable period as a result of shipments from our substantial backlog. In the most recently completed quarter, demand dropped, which is notable in light of our recent string of record-breaking revenue quarters. The holiday slowdown this past quarter also had a significant effect. Nevertheless, our design win efforts remain strong in our end customers. We continue executing along our multi-year, long-term growth plans, as evidenced by our nine month year-to-year results,” commented Dr. Nathan Zommer, Chairman and CEO of IXYS.

Net income for the quarter ended December 31, 2011 was $5.7 million, or $0.18 per diluted share, as compared to a net income of $7.3 million, or $0.23 per diluted share, for the same period in the prior fiscal year. Net income for the nine months ended December 31, 2011 was $26.6 million, or $0.82 per diluted share, as compared to a net income of $20.7 million, or $0.65 income per diluted share, for the same period in the prior fiscal year.

Gross profit was $23.2 million, or 28.9% of net revenues, for the quarter ended December 31, 2011, as compared to gross profit of $29.1 million, or 31.7% of net revenues, for the same period in the prior fiscal year.

Gross profit for the nine months ended December 31, 2011 was $89.7 million, or 31.9% of net revenues, as compared to a gross profit of $90.4 million, or 33.9% of net revenues, for the same period in the prior fiscal year.

Cash and cash equivalents totaled $93.2 million, an increase of $2.5 million as compared to $90.7 million at September 30, 2011, and an increase of $17.2 million as compared to March 31, 2011.

“Cognizant of market volatility, we maintain a conservative business outlook, focusing on sales and R&D, while working diligently to control expenses,” stated Uzi Sasson, President and CFO of IXYS. “We expect the March 2012 quarter revenues to be 5% to 8% higher than the December 2011 quarter revenues.”

About IXYS Corporation

Since its founding in Silicon Valley, IXYS Corporation has been developing technology-driven products to improve energy conversion efficiency, generate clean energy, improve automation, and provide advanced products for the transportation, medical and telecommunications industries. IXYS, with its subsidiaries, is a worldwide pioneer in the development of power semiconductors, solid-state relays, high voltage integrated circuits (HVIC) and microcontrollers that are necessary in conserving energy and in reducing the world’s dependence on fossil fuels.

Diminishing natural resources, demand for renewable energy and environmental directives for energy efficiency represent a significant challenge. IXYS’ power semiconductors and mixed-signal integrated circuits (IC) play a vital role in reducing energy costs and consumption by optimizing the energy efficiency of everyday products. With an end-customer base of over 2,000 telecommunications, transportation, industrial, medical and consumer companies, IXYS is a worldwide recognized provider of advanced semiconductors.

Additional information may be obtained by visiting the IXYS website at http://www.ixys.com, or by contacting the company directly.

Safe Harbor Statement

The foregoing press release contains forward-looking statements, including those related to our design win efforts, executing along our multi-year, long-term growth plans, market volatility, our outlook and our expectations for revenues during the March 2012 quarter. Actual results may vary materially from those contained in the forward-looking statements due to changes in customer delivery schedules, the cancellation of orders, an unanticipated decline in our business, increased competition, cash flow difficulties, unanticipated technological hurdles, adverse changes in customer demand and increasing product costs, among other things. Further information on other factors that could affect IXYS is detailed and included in reports IXYS filed with the Securities and Exchange Commission, including its Form 10-Q for the quarter ended September 30, 2011. IXYS undertakes no obligation to publicly release the results of any revisions to these forward-looking statements.

     
IXYS CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
(unaudited)
 

December 31,

March 31,
  2011   2011
ASSETS
Current assets:
Cash and cash equivalents $ 93,150 $ 75,999
Accounts receivable, net 42,911 55,222
Other receivables 1,949 1,543
Inventories, net 86,181 75,839
Prepaid expenses and other current assets 4,890 6,742
Deferred income taxes   10,457   10,660
Total current assets 239,538 226,005
Plant and equipment, net 56,437 52,311
Other assets 19,653 22,099
Deferred income taxes   24,753   24,774
 
Total assets $ 340,381 $ 325,189
 
LIABILITIES AND STOCKHOLDERS' EQUITY
 
Current liabilities:
Current portion of capitalized lease obligations $ 2,840 $ 2,860
Current portion of notes payable to bank 1,397 1,352
Accounts payable 20,380 16,892
Accrued expenses and other current liabilities   19,769   22,938
Total current liabilities 44,386 44,042
Capitalized lease and other long term obligations, net of current portion 36,576 37,373
Pension liabilities   13,043   14,545
Total liabilities   94,005   95,960
 
Common stock 378 374
Additional paid-in capital 139,013 141,138
Retained earnings 106,548 79,954
Accumulated other comprehensive income   437   7,763
Stockholders' equity   246,376   229,229
 

Total liabilities and stockholders' equity

$ 340,381 $ 325,189
 

IXYS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(unaudited)
 
          Three Months Ended   Nine Months Ended
December 31, December 31,
  2011     2010   2011     2010
   

Net revenues

$ 80,041 $ 91,727 $ 280,823 $ 266,512
Cost of goods sold   56,889     62,647   191,158     176,131
Gross profit   23,152     29,080   89,665     90,381
 
Operating expenses:
Research, development and engineering 6,368 6,684 19,805 20,293
Selling, general and administrative 10,827 10,595 32,142 31,471
Amortization of intangibles 640 1,630 1,885 5,476
Restructuring charges   -     515   -     566
Total operating expenses   17,835     19,424   53,832     57,806
Operating income 5,317 9,656 35,833 32,575
Other income (expense), net   665     303   1,516     458
Income before income tax provision 5,982 9,959 37,349 33,033
Provision for income tax   311     2,653   10,755     12,320
Net income $ 5,671   $ 7,306 $ 26,594   $ 20,713
 
Net income per share - basic $ 0.18   $ 0.23 $ 0.85   $ 0.66
 
Weighted average shares used in per share calculation - basic   31,203     31,096   31,335     31,210
 
Net income per share - diluted $ 0.18   $ 0.23 $ 0.82   $ 0.65
 
Weighted average shares used in per share calculation - diluted   32,238     32,071   32,505     31,877
 

Contacts

IXYS Corporation
Uzi Sasson, 408-457-9000
President & CFO

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Contacts

IXYS Corporation
Uzi Sasson, 408-457-9000
President & CFO