O2Micro(R) International Limited /quotes/zigman/98846/quotes/nls/oiim OIIM +10.78% reported its financial results today for the third quarter of fiscal 2011, ending September 30, 2011.
Financial Highlights for the Third Quarter ending September 30, 2011:
O2Micro International Limited reported revenue of $32.0 million for the third quarter of 2011. Revenue was down 1% from the prior Q2 period. The gross margin was 55.5% in Q3 2011 and it was 175 basis points lower than Q2 2011. GAAP operating expenses rose from $15.6 million in Q2 2011 to $16.5 million in Q3 2011. The corresponding GAAP operating margins for the respective quarters were 9% and 4%. These results from operations yielded GAAP net income that declined from $3.0 million in Q2 2011 to $1.4 million in Q3 2011. The corresponding GAAP net income per fully diluted ADS was $0.09 and $0.04 for the respective Q2 and Q3 2011 periods.
Financial Highlights for the Nine Months ending September 30, 2011:
O2Micro International Limited produced revenue of $95.6 million for the nine months ending September 30, 2011. Revenue was down 11% from the comparable nine months of 2010. The gross margin was 57.4% for the first nine months of 2011 and 61.7% for the corresponding period of 2010. GAAP operating expenses were $47.4 million during the first nine months of 2011 and $46.4 million through the first nine months of 2010. Corresponding GAAP operating margins were 8% and 19%, respectively. The GAAP net income was $7.5 million during the first nine months of 2011 and $12.8 million through the first nine months of 2010. Corresponding net income per fully diluted ADS was $0.22 and $0.36, respectively.
Supplementary Data:
The company ended the third quarter of 2011 with $119.1 million in unrestricted cash and short-term investments or $3.60 per outstanding ADS. The accounts receivable balance was $14.0 million and represented 41 days sales outstanding at the end of Q3 2011. Inventory was $9.3 million or 66 days and turned over 5.5 times during Q3 2011. As of September 30, 2011, the company had $130.8 million in working capital and the book value was $185.4 million, or $5.60 per outstanding ADS.
As of September 30, 2011, O2Micro International Limited counted 765 employees, including 422 engineers.
Management Commentary:
Sterling Du, Chairman and CEO, commented, "We are successfully diversifying our business. We continue to be a leader in backlighting, our DC/DC products are gaining market acceptance, and our investment in general lighting is showing great promise."
Conference Call: O2Micro will hold its third quarter conference call today, November 2, 2011, at 7:00 a.m. PDT, 10:00 a.m. EDT. You may participate using the following dial-in information.