Semtech profit more than doubles in Q2

Semiconductor outfit Semtech has posted its figures for its fiscal second quarter, which ended on the 1st of August, revealing record net revenue up at 70.6 percent and net income more than doubling.

Net revenue for the second quarter of Semtech’s fiscal year 2011 was $113.2 million, up 70.6 percent on the second quarter of fiscal year 2010 and up 11.1 percent on the first quarter of fiscal 2011, which was also a strong period compared to last year.

Net income for the second quarter of fiscal 2011 was $19.7 million or $0.31 per diluted share, compared to $7.4 million or $0.12 per diluted share for the same period of fiscal 2010. This was also an increase on the first quarter of fiscal 2011, which saw net income of $10.8 million or $0.17 per share.

These profits have given Semtech $193.2 million worth of cash, cash equivalents and marketable securities, up from $170.8 million at the end of the first quarter of fiscal 2011.

“The strength we saw in the first quarter of fiscal year 2011 continued into the second quarter, driven by robust demand in our communications, consumer and industrial end markets,” said Mohan Maheswaran, President and CEO of Semtech. “In addition, new products continued to gain traction, validating our strategic focus on the key trends that we believe will drive growth for years to come: demand for increased bandwidth, energy efficiency and miniaturization of electronics.”

Semtech forecasts a six to 10 percent growth in net sales and an increased value for diluted shares of between $0.45 and $0.47 for the third quarter of fiscal year 2011, suggesting that the company is well and truly on the up for some time to come.