Microchip reports Q3 sales
Microchip has announced consolidated net sales for Q3 of fiscal 2011 of $367.8million, down 3.8% sequentially from $382.3m, but up 47.1% from $250.1m in Q3 2010. GAAP net income from continuing operations for Q3 was reported at $101.9m, or $52 cents per diluted share, down 2.7% from GAAP net income from continuing operations of $104.7m, or $55 cents per diluted share, in the previous quarter.
President and ceo Steve Sanghi said that Microchip's Q3 performance exceeded the company's expectations. "Net sales, gross margins, operating income and earnings per share were better than the midpoint of our guidance provided in November," he said. "The SST acquisition has done exceptionally well for Microchip. The technology licensing business produced an all time record high in revenue of $19.1m, up 10.3% sequentially. We are well on our way to achieving $32 cents of non GAAP earnings per share from the SST acquisition in fiscal 2011 and $40 cents in fiscal 2012."
Sanghi added that the company is 'exceptionally well positioned' for continued growth in all of its product lines in 2011 and is expecting Net sales to be flat to up to 3% sequentially.
