Mountain View, Calif. – July 26, 2005 - Actel Corporation (NASDAQ: ACTL) today announced net revenues of $45.3 million for the second quarter of 2005, up 4 percent from the second quarter of 2004 and up 3 percent from the first quarter of 2005.
Pro-forma net income, which excludes amortization of acquisition-related intangibles, was $2.8 million for the second quarter of 2005 compared with $3.2 million for the second quarter of 2004 and $2.0 million for the first quarter of 2005. Pro-forma earnings were $0.11 per diluted share compared with $0.12 for the second quarter of 2004 and $0.08 for the first quarter of 2005.
Including all amortization and other costs in accordance with generally accepted accounting principles (GAAP), Actel reported net income of $2.2 million, or $0.09 per diluted share, for the second quarter of 2005 compared with net income of $2.5 million, or $0.09 per diluted share, for the second quarter of 2004 and net income of $1.4 million, or $0.06 per diluted share, for the first quarter of 2005.
Gross margin was 59.1 percent for the second quarter of 2005 compared with 61.0 percent for the second quarter of 2004 and 59.3 percent for the first quarter of 2005.
John East, president and CEO, stated, “While I’m pleased with our financial performance for the quarter, I am very excited about our landmark Actel Fusion technology announcement, which launches the era of the programmable system chip.”
Business Outlook – Third Quarter 2005
The Company believes that third quarter revenues will grow sequentially in the low single digit range. Gross margin is expected to be around 59 percent. Operating expenses are anticipated to come in at $24.6 million. Other income is expected to be around $0.9 million. The tax rate for the quarter is anticipated to be approximately 15 percent. Share count is expected to be about 25.8 million shares.
A conference call to discuss second quarter results will be held today at 2:30 p.m. Pacific Time. A live web cast and replay of the call will be available. Web cast and replay access information as well as financial and other statistical information can be found on Actel’s web site, www.actel.com. In addition, the Company expects to issue a press release providing a financial update early in September 2005.
Actel Corporation is the leader in single-chip FPGA solutions. The Company is traded on the NASDAQ National Market under the symbol ACTL and is headquartered at 2061 Stierlin Court, Mountain View, Calif., 94043-4655. For more information about Actel, visit http://www.actel.com. Telephone: 888-99-ACTEL (992-2835).
The statements under the heading “Business Outlook – Third Quarter 2005” are forward-looking statements made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and should be read with the “Risk Factors” in Actel’s most recent Form 10-Q, which can be found on Actel’s web site, www.actel.com. Actel’s quarterly revenues and operating results are subject to a multitude of risks, including general economic conditions and a variety of risks specific to Actel or characteristic of the semiconductor industry, such as fluctuating demand, intense competition, rapid technological change and related intellectual property and international trade issues, wafer and other supply shortages, and booking and shipment uncertainties. These and the other Risk Factors make it difficult for Actel to accurately project quarterly revenues and operating results, and could cause actual results to differ materially from those projected in the forward-looking statements. Any failure to meet expectations could cause the price of Actel’s stock to decline significantly.
Editor’s Note: Actel Fusion and the Actel name and logo are trademarks of Actel Corporation. All other trademarks and servicemarks are the property of their respective owners.