Fiscal 2006 Revenue and Net Income Increase Year on Year, Achieving All Time Highs
Fiscal 2006 revenue reached an all time high of $70.2 million compared to the record $65.9 million posted a year ago. On a GAAP basis, diluted earnings per share were $0.44 compared to $0.18 a year ago. Non-GAAP diluted earnings were a record $0.32 per share, excluding the effect of the partial release of the valuation allowance mentioned above. Fiscal 2005 results included restructuring charges of approximately $1.3 million.
"I am pleased to report that in Q4 we achieved revenue just below the high end of our guidance and that our gross margin percentage and pro forma EPS exceeded the high end of our guidance," said Robert V. Dickinson, president and chief executive officer. "Revenue from both mobile handsets and from personal computers and digital consumer electronics showed strong growth year on year and we set a new record for low capacitance ESD revenue as the result of strong growth of both PicoGuard(TM) and MediaGuard(TM) shipments. Bookings rebounded to $18.5 million in Q4 and design wins reached record levels.
"Our Q4 represented a solid finish for fiscal 2006 in which we achieved new records for revenue, net income, cash, bookings and design wins and the highest gross margin percentage in more than ten years. This is especially notable in light of our exit from non-core businesses at the end of fiscal 2005." Dickinson summarized fiscal 2006 achievements as follows:
-- Core revenue growth of 29 percent
-- Third consecutive year of profitability with pro forma diluted EPS
reaching a record $0.32
-- Gross margin of 37.3 percent, highest in 10 years
-- Mobile handset product revenue growth of 35 percent
-- Personal computer and digital consumer electronics product revenue
growth of 13 percent
-- Low capacitance ASIP unit shipments, revenue and design wins all more
than tripled
-- Ending cash balance of $49.7 million, up 38 percent from last year
-- 1,436 design wins, up 18 percent from last year
-- Sale of Tempe AZ facility, completing the transition to a fully fabless
business model
-- Initiated the Arques Technology acquisition to strengthen analog design
team, LED driver portfolio and Asia presence
Conference Call and Webcast Today
California Micro Devices will hold a conference call today at 2:00 p.m. Pacific Time to discuss its March quarter and fiscal 2006 results. Within the USA, interested parties can access the conference call by dialing 866-250-3615. International parties may gain access by dialing 303-262-2194. No password is necessary.
A replay of the conference call will be available on the company's web site at www.calmicro.com (Investor Relations Link) beginning at approximately 4:00 p.m. Pacific Time today and continuing about a year.
About California Micro Devices Corporation
California Micro Devices Corporation is a leading supplier of application specific analog semiconductor products for the mobile handset, personal computer and digital consumer electronics markets. Key products include Application Specific Integrated Passive(TM) (ASIP(TM)) devices and selected high value mixed signal ICs. Detailed corporate and product information may be accessed at www.calmicro.com.
All statements contained in this press release that are not historical facts are forward-looking statements which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. They are not guarantees of future performance or events. Rather, they are based on current expectations, estimates, beliefs, assumptions, and goals and objectives and are subject to uncertainties that are difficult to predict. As a result, our actual results may differ materially from the statements made. Often such statements can be identified by their use of words such as will, intends, expects, plans, believes, anticipates, and estimates. These forward-looking statements are based upon our assumptions about and assessment of the future, which may or may not prove true, and involve a number of risks and uncertainties including the risk factors detailed in the company's Form 8K, 10K, and 10Q filings with the Securities and Exchange Commission. Due to these and other risks, the company's future actual results could differ materially from those discussed above. These forward-looking statements speak only as to the date of this release, and, except as required by law, we undertake no obligation to publicly release updates or revisions to these statements whether as a result of new information, future events, or otherwise.
NOTE: ASIP(TM), Application Specific Integrated Passive(TM), PicoGuard(TM) and MediaGuard(TM) are trademarks of California Micro Devices.
All other trademarks are property of their respective owners
California Micro Devices Corporation
CONDENSED BALANCE SHEETS
(amounts in thousands, except share data)
(Unaudited)
March 31, March 31,
2006 2005
ASSETS
Current assets:
Cash and cash equivalents $9,788 $13,830
Short-term investments 39,958 22,245
Accounts receivable, less allowance for doubtful
accounts of $146 and $74, respectively 10,667 7,574
Inventories 5,508 6,532
Deferred tax assets 2,711 --
Prepaid expenses and other current assets 1,078 1,286
Total current assets 69,710 51,467
Property, plant and equipment, net 3,961 6,038
Other long-term assets 61 172
TOTAL ASSETS $73,732 $57,677
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable $5,901 $4,523
Accrued liabilities 3,185 3,762
Deferred margin on shipments to distributors 2,684 2,520
Current maturities of long-term debt and capital
lease obligations 82 100
Total current liabilities 11,852 10,905
Long-term debt and capital leases, less current
maturities -- 90
Other long-term liabilities 8 21
Total liabilities 11,860 11,016
Commitments and contingencies
Shareholders' equity:
Common stock - no par value; 50,000,000 shares
authorized; shares issued and outstanding:
22,855,223 and 21,605,315 as of March 31, 2006 and
2005, respectively 110,673 105,494
Accumulated other comprehensive loss (5) (2)
Accumulated deficit (48,796) (58,831)
Total shareholders' equity 61,872 46,661
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $73,732 $57,677
California Micro Devices Corporation
CONDENSED STATEMENTS OF OPERATIONS
(amounts in thousands, except per share data)
(Unaudited)
(On a GAAP basis)
Three Months Twelve Months
Ended March 31, Ended March 31,
2006 2005 2006 2005
Net sales $17,395 $14,497 $70,241 $65,869
Cost and expenses:
Cost of sales 10,575 10,630 44,068 42,085
Research and development 1,496 1,533 6,817 5,181
Selling, general and administrative 3,546 3,275 13,348 13,240
Restructuring expense/(benefit) (20) 270 39 1,325
Total costs and expenses 15,597 15,708 64,272 61,831
Operating income (loss) 1,798 (1,211) 5,969 4,038
Other income, net 503 190 1,491 129
Income (loss) before income taxes 2,301 (1,021) 7,460 4,167
Income taxes/(benefit) (2,704) (30) (2,575) 125
Net income (loss) $5,005 $(991) $10,035 $4,042
Net income (loss) per share-basic $0.22 $(0.05) $0.45 $0.19
Weighted average common shares
outstanding-basic 22,802 21,555 22,128 21,318
Net income (loss) per share-diluted $0.22 $(0.05) $0.44 $0.18
Weighted average common shares and
share equivalents outstanding-
diluted 23,031 21,555 22,777 22,582
Reconciliation of net income (loss)
to non-GAAP net income (loss):
Net income (loss) $5,005 $(991) $10,035 $4,042
Reconciling items:
Partial release of valuation
allowance against deferred
tax assets (2,711) -- (2,711) --
Non-GAAP net income (loss) $2,294 $(991) $7,324 $4,042
Non-GAAP:
Net income (loss) per share-basic $0.10 $(0.05) $0.33 $0.19
Net income (loss) per share-diluted $0.10 $(0.05) $0.32 $0.18
Shares used in calculation of non-GAAP:
Weighted average common shares
outstanding-basic 22,802 21,555 22,128 21,318
Weighted average common shares and
share equivalents outstanding-
diluted 23,172 21,555 22,812 22,582
California Micro Devices Corporation
CONDENSED STATEMENTS OF OPERATIONS
(amounts in thousands, except per share data)
(Unaudited)
(On a non-GAAP basis)
Three Months Twelve Months
Ended March 31, Ended March 31,
2006 2005 2006 2005
Net sales $17,395 $14,497 $70,241 $65,869
Cost and expenses:
Cost of sales 10,575 10,630 44,068 42,085
Research and development 1,496 1,533 6,817 5,181
Selling, general and administrative 3,546 3,275 13,348 13,240
Restructuring expense/(benefit) (20) 270 39 1,325
Total costs and expenses 15,597 15,708 64,272 61,831
Operating income (loss) 1,798 (1,211) 5,969 4,038
Other income, net 503 190 1,491 129
Income (loss) before income taxes 2,301 (1,021) 7,460 4,167
Income taxes 7 (30) 136 125
Net income (loss) $2,294 $(991) $7,324 $4,042
Net income (loss) per share-basic $0.10 $(0.05) $0.33 $0.19
Weighted average common shares
outstanding-basic 22,802 21,555 22,128 21,318
Net income (loss) per share-diluted $0.10 $(0.05) $0.32 $0.18
Weighted average common shares and
share equivalents outstanding-
diluted 23,172 21,555 22,812 22,582
See accompanying reconciliation of GAAP measures to non-GAAP measures.
California Micro Devices Corporation
RECONCILIATION OF GAAP MEASURES TO NON-GAAP MEASURES
(Unaudited)
Three Months Twelve Months
Ended March 31, Ended March 31,
2006 2005 2006 2005
Net income (loss) per share:
Basic:
GAAP net income (loss) per share $0.22 $(0.05) $0.45 $0.19
Reconciling items:
Partial release of valuation allowance
against deferred tax assets $(0.12) $-- $(0.12) $--
Non-GAAP net income (loss) per share $0.10 $(0.05) $0.33 $0.19
Diluted:
GAAP net income (loss) per share $0.22 $(0.05) $0.44 $0.18
Reconciling items:
Partial release of valuation allowance
against deferred tax assets $(0.12) $-- $(0.12) $--
Non-GAAP net income (loss) per share $0.10 $(0.05) $0.32 $0.18
CONTACT: Kevin Berry, Chief Financial Officer of California Micro Devices,
+1-408-934-3144, or
Email Contact
Web site: http://www.calmicro.com//