Navigation Links
Synaptics Reports Record Results for First Quarter of Fiscal 2009
Date:10/23/2008

SANTA CLARA, Calif., Oct. 23 /PRNewswire-FirstCall/ -- Synaptics (Nasdaq: SYNA), a leading developer of human interface solutions for mobile computing, communications, and entertainment devices, today reported financial results for the first quarter ended September 30, 2008. The Company's GAAP results reflect the expensing of non-cash share-based compensation for all periods presented.

Net revenue for the first quarter of fiscal 2009 was $115.9 million, an increase of approximately 34% over $86.7 million in net revenue for the first quarter of fiscal 2008. Net income for the first quarter of fiscal 2009 was $14.0 million, or $0.39 per diluted share, compared with net income of $11.3 million, or $0.27 per diluted share, for the first quarter of fiscal 2008. Net income, excluding non-cash charges for share-based compensation, was $17.9 million, or $0.50 per diluted share, for the first quarter of fiscal 2009, compared with net income, excluding share-based compensation and non-recurring items, of $14.8 million, or $0.36 per diluted share, for the first quarter of fiscal 2008.

"We posted record revenue and net income per diluted share for the first quarter, with revenue exceeding $100 million for the first time in our history," stated Francis Lee, Chairman and Chief Executive Officer of Synaptics. "Our growth strategies are clearly working as we achieve greater diversification across our target markets. While our business is not immune to market fluctuations and we are closely monitoring the current economic climate, we are well on track to achieving our third consecutive year of record revenue."

Russ Knittel, Synaptics' Chief Financial Officer, added, "Our backlog increased more than two-fold to a record $103 million entering the December quarter; however, some recent shifts in order patterns suggest cautiousness on the part of our OEM customers. Based on our current backlog and visibility, we anticipate revenue in the December quarter will be $135 million to $145 million, an increase of 37% to 47% over the comparable quarter last year. In light of the prevalent general concerns regarding the global economy, and taking into consideration our outlook for the first half and expectations for the remainder of fiscal 2009, we currently expect our revenue to grow 25% to 35%, up from our original estimate of 20% to 30%."

Earnings Call Information

The Synaptics first quarter teleconference and webcast is scheduled to begin at 2:00 p.m., Pacific Time, on Thursday, October 23, 2008, during which the Company will provide forward-looking information. To participate on the live call, analysts and investors should dial 800-257-1927 at least ten minutes prior to the call. Synaptics will also offer a live and archived webcast of the conference call, accessible from the "Investor Relations" section of the Company's Web site at http://www.synaptics.com.

About Synaptics Incorporated

Synaptics is a leading developer of human interface solutions for mobile computing, communications, and entertainment devices. The Company creates interface solutions for a variety of devices including notebook PCs, PC peripherals, digital music players, and mobile phones. The TouchPad(TM), Synaptics' flagship product, is integrated into a majority of today's notebook computers. Consumer electronics and computing manufacturers use Synaptics' solutions to enrich the interaction between humans and intelligent devices through improved usability, functionality, and industrial design. The Company is headquartered in Santa Clara, California. http://www.synaptics.com

NOTE: Synaptics, TouchPad, and the Synaptics logo are trademarks of Synaptics in the United States and/or other countries.

Use of Non-GAAP Financial Information

In evaluating its business, Synaptics considers and uses net income per share excluding share-based compensation and unusual or non-recurring items as a supplemental measure of operating performance. Net income excluding share-based compensation and unusual or non-recurring items is not a measurement of the Company's financial performance under GAAP and should not be considered as an alternative to GAAP net income. The Company presents net income excluding share-based compensation and unusual or non-recurring items because it considers it an important supplemental measure of its performance. The Company believes this measure facilitates operating performance comparisons from period to period by eliminating potential differences in net income caused by the existence and timing of non-cash compensation charges and unusual or non-recurring items. Net income excluding share-based compensation and unusual or non-recurring items has limitations as an analytical tool and should not be considered in isolation or as a substitute for the Company's GAAP net income. The principal limitations of this measure are that it does not reflect the Company's actual expenses and may thus have the effect of inflating its net income and net income per share.

Forward-Looking Statements

This press release contains "forward-looking" statements about Synaptics, as that term is defined under the federal securities laws. Synaptics intends such forward-looking statements to be subject to the safe harbor created by those laws. Such forward-looking statements include, but are not limited to, statements regarding Synaptics' anticipated revenue and revenue growth rates; the success of our growth strategies its beliefs regarding the markets it serves; its position and opportunities in those markets; its assessment of market demands and trends in target markets; and its assessment of consumer demands for various applications. Synaptics cautions that these statements are qualified by important factors that could cause actual results to differ materially from those reflected by the forward-looking statements contained herein. Such factors include, but are not limited to, (a) demand for Synaptics' products, (b) market demand for OEMs' products using Synaptics' solutions, (c) changing market demand trends in the markets it serves, and (d) other risks as identified from time to time in Synaptics' SEC reports, including Quarterly Reports on Form 10-Q and the Annual Report on Form 10-K for the fiscal year ended June 30, 2008. All forward-looking statements are based on information available to Synaptics on the date hereof, and Synaptics assumes no obligation to update such statements.

(Tables to Follow)

SYNAPTICS INCORPORATED

CONSOLIDATED BALANCE SHEETS

(In thousands, except share data)

(Unaudited)

September 30, June 30,

2008 2008

Assets

Current assets:

Cash and cash equivalents $112,063 $96,218

Short term investments 40,427 50,298

Total cash, cash equivalents,

and short-term investments 152,490 146,516

Receivables, net of allowances of

$539 and $539, respectively 86,598 69,362

Inventories 25,138 21,065

Prepaid expenses and other current

assets 3,853 3,417

Total current assets 268,079 240,360

Property and equipment, net 24,203 22,459

Goodwill 1,927 1,927

Non-current investments 35,341 37,946

Other assets 4,183 3,669

Total assets $333,733 $306,361

Liabilities and stockholders' equity

Current liabilities:

Accounts payable $29,799 $27,784

Accrued compensation 6,464 6,510

Income taxes payable 8,415 7,095

Other accrued liabilities 8,502 9,120

Total current liabilities 53,180 50,509

Convertible senior subordinated notes 125,000 125,000

Other liabilities 18,200 17,075

Commitments and contingencies

Stockholders' equity:

Preferred stock;

$.001 par value; 10,000,000

shares authorized;

no shares issued and

outstanding - -

Common stock;

$.001 par value; 60,000,000

shares authorized; 42,835,461

and 42,500,535 shares issued,

and 33,747,361 and 33,412,435

shares outstanding, respectively 43 43

Additional paid in capital 233,049 222,543

Less: 9,088,100 and 9,088,100

treasury shares, respectively,

at cost (237,387) (237,387)

Retained earnings 144,854 130,895

Accumulated other comprehensive

loss (3,206) (2,317)

Total stockholders' equity 137,353 113,777

Total liabilities and stockholders'

equity $333,733 $306,361

Note:

All share amounts reflect the 3-for-2 stock split effected as a stock

dividend and paid on August 29, 2008.

SYNAPTICS INCORPORATED

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(In thousands, except per share data)

(Unaudited)

Three Months Ended

September 30,

2008 2007

Net revenue $115,857 $86,692

Cost of revenue (1) 69,264 51,228

Gross margin 46,593 35,464

Operating expenses

Research and development (1) 15,805 10,402

Selling, general, and

administrative (1) 14,570 10,750

Total operating expenses 30,375 21,152

Operating income 16,218 14,312

Interest income 1,258 2,995

Interest expense (449) (475)

Gain on settlement of debt - 2,689

Impairment of investment - (4,000)

Income before income taxes 17,027 15,521

Provision for income taxes (2) 3,068 4,259

Net income $13,959 $11,262

Net income per share:

Basic $0.41 $0.29

Diluted $0.39 $0.27

Shares used in computing net income

per share:

Basic 33,640 39,315

Diluted 35,459 41,537

(1) Includes share-based compensation

charges of:

Cost of revenue $411 $239

Research and development 2,016 1,171

Selling, general, and

administrative 3,454 1,919

$5,881 $3,329

(2) Includes tax benefit for share-

based compensation charges of:

$1,968 $1,697

Non-GAAP net income per share:

Basic $0.53 $0.38

Diluted $0.50 $0.36

Note:

All share and per share amounts reflect the 3-for-2 stock split effected

as a stock dividend and paid on August 29, 2008.

SYNAPTICS INCORPORATED

Computation of Basic and Diluted Net Income Per Share

(in thousands, except per share data)

(Unaudited)

Three Months Ended

September 30,

2008 2007

Numerator:

Basic and diluted net income $13,959 $11,262

Denominator:

Shares, basic 33,640 39,315

Effect of dilutive share-based

awards 1,819 2,222

Shares, diluted 35,459 41,537

Net income per share:

Basic $0.41 $0.29

Diluted $0.39 $0.27

Computation of non-GAAP basic and

diluted net income per share

(unaudited):

Numerator:

Reported net income $13,959 $11,262

Non-GAAP adjustments:

Gain on settlement of debt, net

of tax - (2,078)

Impairment of investment, net

of tax - 4,000

Share-based compensation, net

of tax 3,913 1,632

Non-GAAP basic and diluted net

income $17,872 $14,816

Non-GAAP net income per share:

Basic $0.53 $0.38

Diluted $0.50 $0.36

Note:

All share and per share amounts reflect the 3-for-2 stock split effected

as a stock dividend

and paid on August 29, 2008.

For more information contact:

Jennifer Jarman

The Blueshirt Group

415-217-7722

jennifer@blueshirtgroup.com


'/>"/>
SOURCE Synaptics Incorporated
Copyright©2008 PR Newswire.
All rights reserved

Related biology news :

1. Synaptics to Report First Quarter Results on October 23
2. Synaptics SecurePad(TM) Selected as CES Innovations 2008 Design and Engineering Award Honoree
3. GEN reports on novel tools for deciphering biological networks
4. Genetic Engineering & Biotechnology News reports on growing role of molecular diagnostics
5. LSUHSC research reports new method to protect brain cells from diseases like Alzheimers
6. Communication Intelligence Corporation Reports Second Quarter 2008 Financial Results
7. BIO-key(R) Reports Profitability on Strong Revenue Growth for Second Quarter 2008
8. BIO-key(R) Reports Profitability on Strong Revenue Growth for Second Quarter 2008
9. Limiting fructose may boost weight loss, UT Southwestern researcher reports
10. Genetic Engineering & Biotechnology News reports on novel hit-to-lead drug discovery
11. BIO-key(R) Reports First Quarter 2008 Results
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:1/20/2016)... 20, 2016   MedNet Solutions , an innovative ... of clinical research, is pleased to announce the attainment ... are the result of the company,s laser focus on ... , it,s comprehensive, easy-to-use and highly affordable cloud-based ... Key MedNet growth achievements in 2015 include: ...
(Date:1/18/2016)... JOSE, Calif. , Jan. 18, 2016 /PRNewswire/ ... security software that simplifies the use and access ... technology and go-to-market partnership with American Cyber.  ... Cyber brings extensive experience leading transformational C4ISR and ... implementing and integrating the latest proven technology solutions," ...
(Date:1/13/2016)... , January 13, 2016 ... has published a new market report titled - Biometric Sensors ... and Forecast, 2015 - 2023. According to the report, the global ... and is anticipated to reach US$1,625.8 mn by 2023, ... 2023. In terms of volume, the biometric sensors market ...
Breaking Biology News(10 mins):
(Date:2/5/2016)... , Feb. 5, 2016 Australian-US drug discovery ... announced today the appointment of a new Chairman, Mr ... Carmine , effective immediately. James Garner , ... Executive Director and former Acting CEO, Mr Iain Ross ... Non-Executive Director. --> James Garner , has also ...
(Date:2/4/2016)... , Feb. 4, 2016  Sangamo BioSciences, Inc. ... editing, announced today that Edward Lanphier , Sangamo,s ... on the progress of Sangamo,s ZFP Therapeutic ® ... strategy at 2:40 pm ET on Thursday, February 11, ... Global Healthcare Conference. The conference is being held in ...
(Date:2/4/2016)... , Feb. 4, 2016 Beike Biotechnology, the ... medical institutions attended a ceremony in late 2015 to ... cell therapy in 2016. --> ... Translation Platform for Personalized Cell Therapy" was hosted by ... Production Center, both subsidiaries of Beike Biotechnology Co., Ltd. ...
(Date:2/4/2016)... --> --> Q BioMed ... provide the following update on recent corporate developments. ... months we have significantly increased our cash position through several ... result, we have positioned ourselves to execute on the initial ... that development to continue on schedule. --> ...
Breaking Biology Technology: