VIRAGE LOGIC PROVIDES OUTLOOK FOR FISCAL 2001
FREMONT, Calif. - November 1, 2000 -- Virage Logic Corp. (NASDAQ: VIRL), today reported fourth quarter and fiscal year ending Sept. 30, 2000 earnings and provided an outlook for the first quarter and fiscal year 2001. These forward-looking statements are based on current expectations. Actual results may vary materially.
An archive copy of the webcast of the conference call is available on the Virage Logic website at: http://www.viragelogic.com/company/ir.html. The webcast will be available until Jan.15, 2001. Virage Logic's outlook is as follows:
Outlook First Quarter, 2001
· Revenues are targeted to be approximately $6.5 million.
· Gross margin will remain near 76 percent.
· Operating expenses are budgeted to be approximately $4.6 million.
· Other income and expense is expected to be approximately $750,000.
· Tax rate is expected to be about 35 percent.
Outlook Fiscal Year, 2001
· Revenues are targeted in the range of $31 to $32 million.
· Gross margin should range from 76 percent to 78 percent.
· Operating expenses are budgeted to be approximately $22 million.
· Other income and expense is expected to be approximately $3 million.
· The tax rate should remain steady at 35 percent through the year.
About Virage Logic
Virage Logic is a technology and market leader in embedded memory. To meet customer design goals with the highest level of quality, Virage Logic products are optimized for area, speed, power and production tested. These products include embedded memory cores, which are critical components of communications and networking devices including cellular phones, routers, switches, modems, DVD players and set-top boxes. In addition, the company offers software tools and custom memory design services. Its customers include fabless semiconductor companies targeting pure-play foundries and semiconductor companies with their own fabrication facilities. Founded in January 1996, the company has over 130 employees and is located at 46501 Landing Pkwy., Fremont, Calif., 94538. Telephone: (877) 360-6690 (toll free) or (510) 360-8000. Fax: (510) 360-8099. For more information, please visit www.viragelogic.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:
Certain statements contained in the press release constitute "forward-looking" statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the company or industry results to be materially different from any results, performance or achievements expressed or implied by such forward-looking statements. These risks and uncertainties include Virage Logic's ability to maintain and develop new relationships with third party foundries, adoption of technologies by semiconductor companies and increases in the demand for their products, the company's ability to overcome the challenges associated with establishing licensing relationships with semiconductor companies, business and economic conditions generally and in the semiconductor industry in particular, competition in the market for embedded memories and other risks including those described in its Quarterly Report on Form 10-Q for the period ended June 30, 2000, filed with the Securities and Exchange Commission on Sept. 13, 2000 and those described from time to time in its other filings with the Securities and Exchange Commission, press releases and other communications.