Macom Reports Q2 Revenue and profit increases
Revenues up 15.4 percent to $133.6 million, profits up 8.6 percent to $65.5 million
Macom, a supplier of analogue RF, microwave, and photonic semiconductors, has announced financial results for its fiscal Q2 ended April 1, 2016. John Croteau, Macom's president and CEO, stated: "I am pleased to announce another quarter of solid execution and sequential growth. Strong demand across our end markets enabled us to beat the top end of guidance on revenue and earnings per share."
Revenue was $133.6 million, an increase of 15.4 percent, compared to $115.8 million in the prior fiscal quarter and an increase of 30.4 percent compared to $102.4 million in the previous year fiscal second quarter.
Gross profit was $65.5 million, an increase of 8.6 percent, compared to $60.3 million in the prior fiscal quarter and an increase of 40.3 percent percent compared to $46.7 million in the previous year fiscal second quarter;
Gross margin was 49.1 percent, compared to 52.1 percent in the prior fiscal quarter and 45.6 percent in the previous year fiscal second quarter;
"Our Network markets once again delivered solid growth across all optical markets fueled by modulator drivers in long/haul metro as well as lasers in access, backhaul and datacenter applications. We also continued to advance our GaN vision and remain on track with our process qualifications. We are rapidly converging on program wins with Tier-1 customers addressing mainstream LTE deployments," said Croteau.
Net loss from continuing operations was $12.0 million, compared to net loss from continuing operations of $16.8 million, in the prior quarter and net loss from continuing operations of $11.2 million in the previous year Q2.
Q2 2016 Adjusted Non-GAAP Results showed adjusted gross margin was 58.1 percent, compared to 58.7 percent in the prior quarter and 57.6 percent in the previous year Q2r. Adjusted operating income was $32.4 million, or 24.3 percent of revenue, compared to $27.7 million, or 23.9 percent of revenue, in the prior fiscal quarter and $23.7 million, or 23.2 percent of revenue, in the previous year fiscal second quarter;
Adjusted net income was $25.7 million, compared to adjusted net income of $21.8 million, in the prior quarter and adjusted net income of $16.5 million in the previous yearl Q2; and adjusted EBITDA was $39.0 million, compared to $33.5 million for the prior fiscal quarter and $27.4 million for the previous year fiscal second quarter.
Business Outlook
For the fiscal third quarter ending July 1, 2016, Macom expects revenue to be in the range of $138.0 million to $142.0 million. Adjusted gross margin is expected to be between 57 and 59 percent, and adjusted earnings per share between $0.49 and $0.52 on an anticipated 56.5 million diluted shares outstanding.
Croteau said: "As we move into the fiscal second half of the year, we remain focused on executing on our three secular growth drivers - Optical, GaN, and Active Antennas - as highlighted at our recent Analyst Day."
