Xilinx, Inc. (Nasdaq: XLNX) today announced third quarter fiscal 2015 sales of $594 million, down 2% from the prior quarter and up 1% from the same quarter of the prior fiscal year. Third quarter fiscal 2015 net income was $168 million or $0.62 per share, including a $0.2 per diluted share benefit primarily related to the reinstatement of the R&D tax credit.
Solid profitability during the quarter was tempered by disappointing sales from broadcast and communications end markets," said Moshe Gavrielov, Xilinx President and Chief Executive Officer. "However, I am pleased with the renewed growth of our 28nm product family, which increased nearly 20% sequentially. I expect this product family to continue to post healthy growth in 2015 driven by a broad base of applications."
Highlights – December Quarter Fiscal 2015
- Xilinx 28nm products exceeded $150 million in sales for the quarter, up nearly 20% sequentially and up over 50% from the same quarter a year ago. Sales from all product family members increased sequentially and were driven by a broad base of applications.
- Xilinx recently introduced its Kintex UltraScale devices, which are the industry's first 20nm FPGAs to move into volume production. Customers can benefit from an estimated one-year time to market advantage relative to its competition. At 20nm, Xilinx also announced that it is now shipping the industry's largest FPGA, which delivers over 4X the capacity of competitive devices and extends its high-end leadership.
- Xilinx announced the SDAccel™ development environment for OpenCL™, C, and C++, enabling up to 25X better performance/watt for data center application acceleration leveraging FPGAs. SDAccel, the newest member of the SDx™ family, combines the industry's first architecturally optimizing compiler supporting any combination of OpenCL, C, and C++ kernels, along with libraries, development boards, and the first complete CPU/GPU-like development and run-time experience for FPGAs.
- In November, Xilinx Board of Directors granted an authorization for the Company to repurchase up to $800 million of its common stock. Since fiscal 2010, the Company has repurchased over 50 million shares for approximately $1.8 billion.
Business Outlook – March Quarter Fiscal 2015
- Sales are expected to be down 2% to down 6% sequentially.
- Gross margin is expected to be approximately 68% to 69%.
- Operating expenses are expected to be approximately $227 million including $2.5 million of amortization of acquisition-related intangibles.
- Other income and expenses are expected to be a net expense of approximately $7 million.
- Fully diluted share count is expected to be approximately 270 million.
- March quarter tax rate is expected to be approximately 13%.