Growth Reflects Continued Strength In Mobile Business
SUNNYVALE, Calif., April 30, 2013 – Silicon Image, Inc. (NASDAQ: SIMG), a leading provider of HD connectivity solutions, today reported financial results for its first quarter ended March 31, 2013.
Revenue for the first quarter of 2013 was $62.0 million, approximately a 13% increase from revenue of $55.0 million in the first quarter of 2012, and a 4% increase from $59.6 million in the fourth quarter of 2012.
“We are pleased with our first quarter performance,” said Camillo Martino, chief executive officer of Silicon Image, Inc. “Revenue exceeded our expectations and bottom line growth showed significant improvement. Our mobile business is up more than 50% year-on-year and 11% over last quarter. In the first quarter, we built a solid foundation to achieve our financial goals for 2013.”
GAAP net loss for the first quarter of 2013 was $0.6 million, or $0.01 per share, compared with a net loss of $0.3 million, or $0.00 per share, for the fourth quarter of 2012 and a net loss of $9.6 million, or $0.12 per share, for the first quarter of 2012.
Non-GAAP net income for the first quarter of 2013 was $3.2 million, or $0.04 per diluted share, compared with a non-GAAP net income of $6.2 million, or $0.08 per diluted share, for the fourth quarter of 2012 and a non-GAAP net loss of $0.8 million, or $0.01 per share, for the first quarter of 2012. Non-GAAP net income (loss) for these periods excludes stock-based compensation expense, amortization of intangible assets, write-off of certain unsalable inventory, business acquisition related expenses and restructuring charges.
During the first quarter of 2013, pursuant to the $30 million accelerated share repurchase agreement entered in November 2012, Silicon Image received an additional 750,000 shares of its common stock. The company’s cash and short-term investments balance as of March 31, 2013 was $116.5 million.
A reconciliation of GAAP and non-GAAP items is provided in a table following the Condensed Consolidated Statements of Operations.
The following are Silicon Image’s financial performance estimates for the second quarter of 2013:
- Revenue: $71 million to $73 million
- Gross Margin: approximately 58%
- GAAP operating expenses: $37 million to $38 million
- Non-GAAP operating expenses: $34 million to $35 million
- Diluted shares outstanding: approximately 78.8 million
- Non-GAAP tax rate: approximately 30% of non-GAAP pre-tax income
Use of Non-GAAP Financial Information
Silicon Image presents and discusses gross margin, operating expenses, net income (loss) and basic and diluted net income (loss) per share in accordance with Generally Accepted Accounting Principles (GAAP), and on a non-GAAP basis for informational purposes only. Silicon Image believes that non-GAAP reporting, giving effect to the adjustments shown in the attached reconciliation, provides meaningful information and therefore uses non-GAAP reporting to supplement its GAAP reporting and internally in evaluating operations, managing and monitoring performance, and determining bonus compensation. Further, Silicon Image uses non-GAAP information as certain non-cash charges such as amortization of intangibles, stock based compensation, write-off of certain unsalable inventory, business acquisition related expenses and restructuring charges do not reflect the cash operating results of the business. Silicon Image has chosen to provide this supplemental information to investors, analysts and other interested parties to enable them to perform additional analyses of its operating results and to illustrate the results of operations giving effect to such non-GAAP adjustments. The non-GAAP financial information presented herein should be considered supplemental to, and not as a substitute for, or superior to, financial measures calculated in accordance with GAAP.
To read financial tables, click here
Silicon Image will host an investor conference call today to discuss its first quarter of 2013 results at 2:00 p.m. Pacific Time and will webcast the event. To access the conference call, dial 877-941-4774 or 480-629-9760 and enter pass code 4612156. The webcast and replay will be accessible on Silicon Image's investor relations website at http://ir.siliconimage.com. A replay of the conference call will be available within two hours of the conclusion of the conference call through May 14, 2013. To access the replay, please dial 800-406-7325 or 303-590-3030 and enter pass code 4612156.
About Silicon Image, Inc.
Silicon Image is a leading provider of connectivity solutions that enable the reliable distribution and presentation of high-definition content for mobile, consumer electronics, and PC markets. The company delivers its technology via semiconductor and intellectual property products that are compliant with global industry standards and feature market leading Silicon Image innovations such as InstaPort™ and InstaPrevue™. Silicon Image's products are deployed by the world's leading electronics manufacturers in devices such as mobile phones, tablets, DTVs, Blu-ray Disc™ players, audio-video receivers, digital cameras, as well as desktop and notebook PCs. Silicon Image has driven the creation of the highly successful HDMI® and DVI™ industry standards, the latest standard for mobile devices - MHL®, and the leading 60GHz wireless HD video standard - WirelessHD®. Via its wholly-owned subsidiary, Simplay Labs, Silicon Image offers manufacturers comprehensive standards interoperability and compliance testing services. For more information, visit us at http://www.siliconimage.com.