Cree Q3 Revenue Up 4 Percent
"Progress won't happen in a straight line... but Q3 was a good first step" said Gregg Lowe, Cree CEO
Cree has announced financial results for Q3 2018, ended March 25, 2018. Revenue for Q3 2018 was $356 million, which represents a 4 percent increase compared to revenue of $342 million for Q3 2017.
GAAP net loss for Q3 2018 was $241 million, or $2.40per diluted share, which includes impairment charges of $247.5 million attributable to Cree's Lighting Products segment. This compares to a GAAP net loss of $99 million, or $1.02 per diluted share, for Q3 2017. Non-GAAP net income for Q3 2018 was $3.8 million, or $0.04 per diluted share, compared to non-GAAP net income for Q3 2017 of $0.7 million, or $0.01 per diluted share.
"The third quarter revenues and gross margins were at the top end of our targeted range, and non-GAAP earnings per share exceeded the top end of our range, with each business showing progress," stated Gregg Lowe, Cree CEO. "While we still have a lot of work to do and the progress won't happen in a straight line, Q3 was a good first step and we are committed to executing our new strategic direction going forward."
For Q4 2018 ending June 24, 2018, Cree targets revenue in a range of $390 million to $410 million. GAAP net loss is targeted at $34 million to $38 million, or $0.34 to $0.38 per diluted share. Non-GAAP net income is targeted to be in a range of $5 million to $9 million, or $0.05 to $0.09 earnings per diluted share.
Targeted non-GAAP income excludes $43 million of expenses, net of tax, related to stock-based compensation expense, the amortisation or impairment of acquisition-related intangibles, the amortisation of the inventory basis step-up from the Infineon RF Power acquisition, transition and integration costs associated with the Infineon RF Power acquisition and charges associated with the restructuring of the Lighting Products business.