DGAP-News: Dialog Semiconductor Plc.: DIALOG SEMICONDUCTOR ANNOUNCES ITS RESULTS FOR THE SECOND QUARTER OF 2012
(firmenpresse) - DGAP-News: Dialog Semiconductor Plc. / Key word(s): Quarter Results
Dialog Semiconductor Plc.: DIALOG SEMICONDUCTOR ANNOUNCES ITS RESULTS
FOR THE SECOND QUARTER OF 2012
24.07.2012 / 07:00
---------------------------------------------------------------------
Company meets Q2 guidance, reporting a record second quarter revenue of
$159.5 million, representing year-on-year growth of 37.4%
Kirchheim/Teck, Germany, 24 July 2012 - Dialog Semiconductor plc (FWB:
DLG), a provider of highly integrated innovative power management, audio
and low energy short range wireless technologies, today reports results for
its second quarter ending 29 June 2012.
Q2 2012 Financial Highlights
- Revenue for Q2 2012 was $159.5 million, an increase of 37.4% over Q2
2011
- Incremental gross margin improvement of 0.6 percentage points in the
quarter
- Q2 2012 IFRS operating profit (EBIT) was $13.4 million or 8.4% of
revenue with underlying(*) operating profit of $16.9 million or 10.6%
of revenue
- Q2 2012 underlying(*) EBITDA(**) of $24.4 million or 15.3% of revenue,
compared to $20.4 million or 17.6% in the prior year
- Q2 2012 underlying(*) diluted earnings per share of 20 cents, compared
to 24 cents in Q2 2011
- Remain confident in our ability to meet current market revenue
expectations for the full year 2012
Q2 2012 Operational Highlights
- Continued engagements with leading application processor vendors for
integrated companion PMIC solutions, targeting 2013 volume production
- Strong engagement and first design wins for our short-range wireless
audio ICs at leading microphone, gaming and professional headset
customers
- Our second PMIC including integrated Audio, for a global Smartphone
platform design win announced with Samsung
- Adoption of SmartPulse(TM) DECT ULE for internet enabled home plugs by
European OEM's
- Adoption of Dialog audio technology for MP3 accessory for Samsung SIII
Smartphone
Commenting on the results Dialog Chief Executive, Dr Jalal Bagherli, said:
'I am pleased to report a solid second quarter for Dialog, achieving strong
year over year revenue growth. This is also the second sequential quarter
in which we have delivered incremental gross margin improvement.
The breadth and depth of our technology portfolio, particularly for class
leading power management, has enabled us to continue to build deeper
engagement with leading trend-setting customers and partners. We have also
continued to invest in and execute on our strategic priorities to drive
profitable growth through Smartphones, Tablet PCs and now next generation
Ultrabook solutions. Taken together, these factors continue to position
Dialog well for continued strong revenue growth.'
FINANCIAL OVERVIEW
Revenue in Q2 2012 was $159.5 million, representing an increase of 37.4%
over the $116.1 million delivered in the second quarter of 2011 and a
sequential decrease of 4.1% on the $166.3 million of revenue delivered in
the prior quarter following, as previously reported, a particularly strong
finish to that prior quarter.
Gross margin continues, as forecast, to steadily improve. In Q2 2012, gross
margin stood at 37.5% of revenue, representing an increase of 0.6
percentage points over the 36.9% achieved in the prior quarter and a
decrease of 3.4 percentage points over the 40.9% achieved in Q2 2011. The
Q2 2012 underlying(*) gross margin was 37.5% compared to 37.3% in Q1 2012.
R&D and SG&A in Q2 2012 stood at 19.1% and 10.0% of revenue respectively,
compared to 18.2% and 11.5% in Q2 2011 and 17.2% and 10.3% in the prior
quarter (?). Underlying(*) R&D and SG&A in Q2 2012 stood at 18.6% and 8.2%
of revenue respectively, compared to 17.6% and 9.3% in Q2 2011 (?) as we
seek to fuel future revenue growth.
Operating profitability on an IFRS basis has also continued to improve. In
Q2 2012, Operating Profit was $13.4 million or 8.4% of revenue. This
compares to the $13.1 million or 11.2% of revenue achieved in Q2 2011 and
$15.7 million or 9.4% of revenue achieved in the prior quarter. The
underlying(*) operating profit achieved in Q2 2012 was $16.9 million or
10.6% of revenue, compared with the underlying(*) operating profit of $17.1
million or 14.7% of revenue in Q2 2011 and $21.5 million or 13.0% in the
prior quarter (?).
In Q2 2012 underlying(*) EBITDA(**) was $24.4 million or 15.3% of revenue
compared to $20.4 million or 17.6% in Q2 2011 and $27.1 million or 16.3% in
the prior quarter.
In total a net tax charge of $3.2 million was recorded in Q2 2012.
Consequently, the overall effective tax rate for Q2 2012 was 27.0%.
In Q2 2012, on an IFRS basis, net profit was $8.5 million or 13 cents per
basic share and 12 cents per diluted share. This compares to a net profit
of $12.3 million or 20 cents per basic and 18 cents per diluted share
delivered in Q2 2011 and a net profit of $11.6 million or 18 cents per
basic and 17 cents per diluted share in the prior quarter. The underlying
(*) earnings per share (diluted) in Q2 2012 was 20 cents. This compares to
24 cents in Q2 2011 and 26 cents in the prior quarter.
At the end of Q2 2012, our total inventory level was $102.5 million (or ~92
days), an increase of $21.8 million over the prior quarter and a level
which we feel is appropriate in order to service the accelerating demand
expected of the business during the second half of 2012.
At the end of Q2 2012, we had a cash and cash equivalents of $304.0
million. This represents an increase of $167.6 million over the cash and
cash equivalents over the prior quarter. During Q1 of this financial year,
Dialog closed a Convertible Bond Offering and early in Q2 received the net
proceeds from that offering amounting to $196.8 million.
In support of our new product development strategy and efforts to optimise
our supply chain with our offshore partners, during the quarter, we
incurred capital expenditures of $16.8 million (Q2 2011: $3.9 million).
As part of our on-going strategy to invest in R&D, subsequent to quarter
close, Dialog entered into a $26.4 million, payable over 6 years, license
agreement with a third party which allows Dialog to access patents in the
area of portable power management and battery charging technology.
(*) Underlying results in Q2 2012 are based on IFRS, adjusted to exclude
share-based compensation charges and related charges for National Insurance
of $1.9 million, excluding $1.6 million of amortisation of intangibles
associated with the acquisition of Dialog B.V. and excluding $1.7 million
interest and financial expense in connection with the convertible bond.
The term 'underlying' is not defined in IFRS and therefore may not be
comparable with similarly titled measure reported by other companies.
Underlying measures are not intended as a substitute for, or a superior
measure to, IFRS measures.
(**) EBITDA is defined as operating profit excluding depreciation for
property, plant and equipment (Q2 2012: $3.0 million), amortisation for
intangible assets (Q2 2012: $4.3 million) and losses on disposals and
impairment of fixed assets (Q22012: $0.1million).
(?) See Notes to the Interim Consolidated Financial Statements (unaudited)
published on our website: http://www.diasemi.com/investor_relations.php) -
Following the successful completion of the Convertible Bond issue (see note
7 'Convertible Bond'), the transactions cost incurred ($ 4.2 million in
total) are now allocated to the liability and equity component using
prevailing market interest rate for debt with similar terms. As a result,
we are now recognising that the $ 3.4 million transactions cost relating to
the liability portion of the instrument should be offset against the
liability in accordance to IAS 32 and IAS 39 rather than as expense in the
income statement as previously reported in Q1 2012
OPERATIONAL OVERVIEW
As part of our Processor Partner Program initiative, during the quarter we
continued to engage with leading application processor vendors. Our focus
rests on developing optimised companion power management IC's for next
generation processors, targeting new and high volume Smartphone, Tablet and
Ultrabook platforms. We expect to announce products through the rest of
2012 and early 2013 with designs targeting volume productions in 2013.
We recently announced our second power management and audio design win at
Samsung for a global smartphone platform. This new platform is part of the
Samsung Galaxy series of Smartphones that use Dialog ICs. The first phone
to use the platform is the Galaxy Pocket S5300, which recently began to
ship in volume. We expect that additional Smartphones from Samsung for
global 3G markets based upon this Dialog platform will be rolled out in the
coming months.
Additionally, our audio technology was adopted and now in production by
Samsung for an MP3 accessory player - YP-W1 or commonly known as the
'S-Pebble' - for the Samsung SIII Smartphone. The Samsung YP-W1 bridges the
gap between ultra-portable MP3 players and those with information displays.
The player is designed for runners and other sportspeople.
For wireless audio, we secured new design wins and strong engagement based
on a new short-range wireless processor at leading microphone, gaming and
professional headset global OEMs. Our new products offer low latency and
interference-free wireless operation for real-time audio applications.
Dialog's innovative SmartPulse(TM) DECT ULE technology continues to gain
traction for home automation applications. Our latest design win is for
internet enabled power plugs, allowing control and remote energy monitoring
of connected devices to power plugs from your smartphone or tablet PC.
OUTLOOK
In Q3 2012, we expect our revenue momentum to continue to build and deliver
revenue for the quarter in the range of $170 to $180 million, representing
further significant year on year growth. We remain confident in our ability
to meet current market revenue expectations for the full year, driven by a
stronger seasonal second half and through anticipated new product launches
from our customers.
We continue to believe that the positive trend of gradual incremental gross
margin improvement achieved in the first half will continue through 2012,
supported by our increasing supply chain visibility.
* * * * *
Dialog Semiconductor invites you today at 08.30 am (London) / 09.30 am
(Frankfurt) to listen in a live conference call to management's discussion
of Q2 2012 performance, as well as guidance for Q3. To access the call
please use the following dial-in numbers: Germany: 0800 101 4960, UK: 0800
694 0257, US: 1866 966 9439, ROW: +44 1452 555 566, with no access code
required. An instant replay facility will be available for 30 days after
the call and can be accessed at +44 1452 550 000 (UK) with access code
94782739#. An audio replay of the conference call will also be posted soon
thereafter on the company's website at:
http://www.diasemi.com/investor_relations.php
Additional information to this release including the company's consolidated
income statement, consolidated balance sheet and consolidated statements of
cash flows for the period ending 29 June 2012 is available under the
investor relations section of the Company's web site.
Additional financial information
US$000 Q2 - 2012
Q2 - 2011
IFRS Adjust- Under- IFRS
Adjust- Under-ment lying *)
ment lying *)
Revenues 159,525 - 159,525 116,090
- 116,090
Cost of
sales (99,781) (4) (99,777) (68,617)
(810) (67,807)
Gross profit 59,744 (4) 59,748 47,473
(810) 48,283
Selling and
marketing
expenses (9,494) (1,801) (7,693) (8,128)
(1,532) (6,596)
General and
administrative
expenses (6,453) (993) (5,460) (5,171)
(1,020) (4,151)
Research and
development
expenses (30,397) (710) (29,687) (21,125)
(651) (20,474)
Operating
profit 13,400 (3,508) 16,908 13,049
(4,013) 17,062
Financial
result (1,700) (1,685) (15) (215)
- (215)
Result before
income taxes 11,700 (5,193) 16,893 12,834
(4,013) 16,847
Income tax
expense (3,159) - (3,159) (570)
- (570)
Net profit 8,541 (5,193) 13,734 12,264
(4,013) 16,277
Earnings per
share in US$
Basic 0.13 (0.08) 0.21 0.20
(0.06) 0.26
Diluted 0.12 (0.08) 0.20 0.18
(0.06) 0.24
EBITDA **) 20,773 (3,604) 24,377 18,715
(1,661) 20,376
US$000 H1 - 2012
H1 - 2011
IFRS Adjust- Under- IFRS
Adjust- Under-
ment lying *)
ment lying *)
Revenues 325,873 - 325,873 214,568
- 214,568
Cost of
sales (204,683) (560) (204,123) (126,480)
(1,195) (125,285)
Gross profit 121,190 (560) 121,750 88,088
(1,195) 89,283
Selling and
marketing
expenses (18,783) (3,730) (15,053) (14,262)
(2,233) (12,029)
General and
administrative
expenses (14,255) (2,869) (11,386) (12,606)
(4,323) (8,283)
Research and
development
expenses (59,036) (2,181) (56,855) (40,209)
(2,134) (38,075)
Operating
profit 29,116 (9,340) 38,456 21,011
(9,885) 30,896
Financial
result (1,485) (1,685) 200 386
- 386
Result before
income taxes 27,631 (11,025) 38,656 21,397
(9,885) 31,282
Income tax
expense (7,460) - (7,460) (1,471)
- (1,471)
Net profit 20,171 (11,025) 31,196 19,926
(9,885) 29,811
Earnings per
share in US$
Basic 0.31 (0.17) 0.49 0.32
(0.16) 0.48
Diluted 0.30 (0.16) 0.46 0.30
(0.15) 0.45
EBITDA **) 44,129 (7,341) 51,470 31,046
(6,457) 37,503
For further information please contact:
Dialog Semiconductor
Neue Strasse
D-73230 Kirchheim/Teck
Germany
T: +49 7021 805 412
F: +49 7021 805 200
dialog(at)fticonsulting.com
www.dialog-semiconductor.com
FTI Consulting London
Matt Dixon
T: +44 (0)20 7269 7214
matt.dixon(at)fticonsulting.com
FTI Consulting Frankfurt
Thomas M. Krammer
T: +49 (0) 69 9203 7183
thomas.krammer(at)fticonsulting.com
Note to editors
Dialog Semiconductor creates highly integrated, mixed-signal integrated
circuits (ICs) optimised for personal portable, low energy short-range
wireless, lighting, display and automotive applications. The company
provides flexible and dynamic support, world-class innovation and the
assurance of dealing with an established business partner.
With its focus and expertise in energy efficient system power management in
addition to low energy short range wireless and VoIP technology, Dialog
brings decades of experience to the rapid development of ICs for personal
portable applications including smartphones, tablet PCs, digital cordless
phones and gaming applications.
Dialog's power management processor companion chips enhance both the
performance in terms of extended battery lifetime and the consumers'
multimedia experience. With world-class manufacturing partners, Dialog
operates a fabless business model.
Dialog Semiconductor plc is headquartered near Stuttgart with a global
sales, R&D and marketing organisation. In 2011, it had approximately
$527million in revenue and was again one of the fastest growing European
public semiconductor companies. It currently has approximately 725
employees. The company is listed on the Frankfurt (FWB: DLG) stock exchange
and is a member of the German TecDax index
Forward Looking Statements
This press release contains 'forward-looking statements' that reflect
management's current views with respect to future events. The words
'anticipate,' 'believe,' 'estimate, 'expect,' 'intend,' 'may,' 'plan,'
'project' and 'should' and similar expressions identify forward-looking
statements. Such statements are subject to risks and uncertainties,
including, but not limited to: an economic downturn in the semiconductor
and telecommunications markets; changes in currency exchange rates and
interest rates, the timing of customer orders and manufacturing lead times,
insufficient, excess or obsolete inventory, the impact of competing
products and their pricing, political risks in the countries in which we
operate or sale and supply constraints. If any of these or other risks and
uncertainties occur (some of which are described under the heading 'Risks
and their management' in Dialog Semiconductor's most recent Annual Report)
or if the assumptions underlying any of these statements prove incorrect,
then actual results may be materially different from those expressed or
implied by such statements. We do not intend or assume any obligation to
update any forward-looking statement which speaks only as of the date on
which it is made, however, any subsequent statement will supersede any
previous statement.
End of Corporate News
---------------------------------------------------------------------
24.07.2012 Dissemination of a Corporate News, transmitted by DGAP - a
company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
---------------------------------------------------------------------
Language: English
Company: Dialog Semiconductor Plc.
Tower Bridge House, St. Katharine's Way
E1W 1AA London
United Kingdom
Phone: +49 7021 805-412
Fax: +49 7021 805-200
E-mail: birgit.hummel(at)diasemi.com
Internet: www.diasemi.com
ISIN: GB0059822006, XS0757015606
WKN: 927200
Indices: TecDAX
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, München,
Stuttgart
End of News DGAP News-Service
---------------------------------------------------------------------
178850 24.07.2012
Themen in dieser Pressemitteilung:
Unternehmensinformation / Kurzprofil:
Datum: 24.07.2012 - 07:00 Uhr
Sprache: Deutsch
News-ID 167821
Anzahl Zeichen: 4661
contact information:
Kategorie:
Business News
Diese Pressemitteilung wurde bisher 291 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"DGAP-News: Dialog Semiconductor Plc.: DIALOG SEMICONDUCTOR ANNOUNCES ITS RESULTS FOR THE SECOND QUARTER OF 2012"
steht unter der journalistisch-redaktionellen Verantwortung von
Dialog Semiconductor Plc. (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
