Jan 24, 2018
SAN JOSE, Calif., Jan. 24, 2018 /PRNewswire/ -- Xilinx, Inc. (Nasdaq: XLNX) today announced record sales of $631 million for the third quarter of fiscal year 2018, up approximately 2% from the prior quarter and up 8% from the third quarter of the prior fiscal year. December quarter net income was $12 million, or $0.05 per diluted share. Due to the recent enactment of the Tax Cuts and Jobs Act, Xilinx incurred a tax expense of approximately $183 million in the December quarter.
The Xilinx Board of Directors declared a quarterly cash dividend of $0.35 per outstanding share of common stock payable on February 22, 2018 to all stockholders of record at the close of business on February 7, 2018.
Additional December quarter comparisons are represented in the charts below:
GAAP Results (In millions, except EPS) |
||||||
Q3 FY 2018 |
Q2 FY 2018 |
Q3 FY 2017 |
Q-T-Q |
Y-T-Y |
||
Net revenues |
$631 |
$620 |
$586 |
2% |
8% |
|
Operating income |
$190 |
$185 |
$163 |
2% |
16% |
|
Net income |
$12 |
$168 |
$142 |
-93% |
-92% |
|
Diluted earnings per share |
$0.05 |
$0.65 |
$0.52 |
-92% |
-90% |
"We delivered our ninth consecutive quarter of revenue growth with December quarter revenues establishing a new record for Xilinx and we achieved our operating margin target of 30% one quarter ahead of schedule," said Moshe Gavrielov, Xilinx President and Chief Executive Officer. "Revenues from Advanced Products continued to be strong, increasing 30% from the same quarter a year ago and comprising 56% of company sales, supported by accelerated growth in our industry-leading 20nm and 16nm technology nodes. In addition, our 16nm portfolio continued to gain market momentum as we have cumulatively shipped 43 unique products to 1,160 customers."
Net Revenues by Geography: |
||||||
Percentages |
Growth Rates |
|||||
Q3 FY 2018 |
Q2 FY 2018 |
Q3 FY 2017 |
Q-T-Q |
Y-T-Y |
||
North America |
31% |
31% |
30% |
3% |
12% |
|
Asia Pacific |
41% |
40% |
43% |
3% |
3% |
|
Europe |
20% |
20% |
19% |
2% |
11% |
|
Japan |
8% |
9% |
8% |
-8% |
10% |
Net Revenues by End Market: |
||||||||||
Percentages |
Growth Rates |
|||||||||
Q3 FY 2018 |
Q2 FY 2018 |
Q3 FY 2017 |
Q-T-Q |
Y-T-Y |
||||||
Communications & Data Center |
35% |
37% |
44% |
-2% |
-12% |
|||||
Industrial, Aerospace & Defense |
47% |
45% |
41% |
7% |
23% |
|||||
Broadcast, Consumer & Automotive |
18% |
18% |
15% |
-3% |
24% |
Net Revenues by Product: |
||||||
Percentages |
Growth Rates |
|||||
Q3 FY 2018 |
Q2 FY 2018 |
Q3 FY 2017 |
Q-T-Q |
Y-T-Y |
||
Advanced Products |
56% |
52% |
47% |
10% |
30% |
|
Core Products |
44% |
48% |
53% |
-7% |
-12% |
Products are classified as follows:
Advanced Products: UltraScale+, Ultrascale and 7-series products.
Core Products: Virtex-6, Spartan-6, Virtex‐5, CoolRunner‐II, Virtex-4, Virtex-II, Spartan-3, Spartan-2, XC9500 products, configuration solutions, software & support/services.
Key Statistics: |
|||
(Dollars in millions) |
|||
Q3 FY 2018 |
Q2 FY 2018 |
Q3 FY 2017 |
|
Annual Return on Equity (%)* |
19 |
27 |
25 |
Operating Cash Flow |
$185 |
$202 |
$106 |
Depreciation Expense |
$11 |
$12 |
$11 |
Capital Expenditures |
$7 |
$12 |
$20 |
Combined Inventory Days |
121 |
116 |
114 |
Revenue Turns (%) |
46 |
53 |
56 |
*Return on equity calculation: Annualized year to date net income/average stockholders' equity |
Product and Financial Highlights – December Quarter
Business Outlook – March Quarter Fiscal Year 2018
Conference Call
A conference call will be held today at 2:00 p.m. Pacific Time to discuss the December quarter financial results and management's outlook for the March quarter. The webcast and subsequent replay will be available in the investor relations section of the Company's web site at www.investor.xilinx.com. A telephonic replay of the call may be accessed later in the day by calling (855) 859-2056 and referencing confirmation code 4886278. The telephonic replay will be available for two weeks following the live call.
This release contains forward-looking statements and projections. Forward-looking statements and projections can often be identified by the use of forward-looking words such as "expect," "believe," "may," "will," "could," "anticipate," "estimate," "continue," "plan," "intend," "project" or other similar expressions. Statements that refer to or are based on projections, uncertain events or assumptions also identify forward-looking statements. Such forward looking statements include, but are not limited to, statements related to the semiconductor market, the growth and acceptance of our products, expected revenue growth, the demand and growth in the markets we serve, opportunity for expansion into new markets, and our expectations regarding our business outlook for the March quarter of fiscal year 2018. Undue reliance should not be placed on such forward-looking statements and projections, which speak only as of the date they are made. We undertake no obligation to update such forward-looking statements. Actual events and results may differ materially from those in the forward-looking statements and are subject to risks and uncertainties including customer acceptance of our new products, current global economic conditions, the health of our customers and the end markets in which they participate, our ability to forecast end customer demand, a high dependence on turns business, more customer volume discounts than expected, greater product mix changes than anticipated, fluctuations in manufacturing yields, our ability to deliver product in a timely manner, our ability to successfully manage production at multiple foundries, variability in wafer pricing, costs and liabilities associated with current and future litigation, the impact of current and future legislative and regulatory changes, and other risk factors listed in our most recent Forms 10-Q and 10-K.
About Xilinx
Xilinx is the leading provider of All Programmable FPGAs, SoCs, MPSoCs, and 3D ICs. Xilinx uniquely enables applications that are both software defined and hardware optimized – powering industry advancements in Cloud Computing, Embedded Vision, Industrial IoT, and 5G Wireless. For more information, visit www.xilinx.com.
#1804F
Xilinx, the Xilinx logo, Artix, ISE, Kintex, Spartan, Virtex, Zynq, Vivado, and other designated brands included herein are trademarks of Xilinx in the United States and other countries. All other trademarks are the property of their respective owners.
XLNX-F
XILINX, INC. |
|||||||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME |
|||||||||
(Unaudited) |
|||||||||
(In thousands, except per share amounts) |
|||||||||
Three Months Ended |
Nine Months Ended |
||||||||
December 30, 2017 |
September 30, 2017 |
December 31, 2016 |
December 30, 2017 |
December 31, 2016 |
|||||
Net revenues |
$ 631,193 |
$ 619,503 |
$ 585,688 |
$ 1,866,142 |
$ 1,739,877 |
||||
Cost of revenues |
182,156 |
184,786 |
178,233 |
559,037 |
522,404 |
||||
Gross margin |
449,037 |
434,717 |
407,455 |
1,307,105 |
1,217,473 |
||||
Operating expenses: |
|||||||||
Research and development |
166,231 |
157,985 |
159,248 |
477,267 |
437,187 |
||||
Selling, general and administrative |
92,753 |
91,053 |
83,780 |
272,981 |
250,353 |
||||
Amortization of acquisition-related intangibles |
353 |
510 |
1,455 |
1,568 |
3,943 |
||||
Total operating expenses |
259,337 |
249,548 |
244,483 |
751,816 |
691,483 |
||||
Operating income |
189,700 |
185,169 |
162,972 |
555,289 |
525,990 |
||||
Interest and other income (expense), net |
5,469 |
1,831 |
(392) |
9,138 |
(6,130) |
||||
Income before income taxes |
195,169 |
187,000 |
162,580 |
564,427 |
519,860 |
||||
Provision for income taxes |
183,224 |
19,468 |
20,734 |
217,705 |
50,773 |
||||
Net income |
$ 11,945 |
$ 167,532 |
$ 141,846 |
$ 346,722 |
$ 469,087 |
||||
Net income per common share: |
|||||||||
Basic |
$ 0.05 |
$ 0.68 |
$ 0.57 |
$ 1.39 |
$ 1.86 |
||||
Diluted |
$ 0.05 |
$ 0.65 |
$ 0.52 |
$ 1.34 |
$ 1.74 |
||||
Cash dividends per common share |
$ 0.35 |
$ 0.35 |
$ 0.33 |
$ 1.05 |
$ 0.99 |
||||
Shares used in per share calculations: |
|||||||||
Basic |
254,089 |
248,094 |
250,982 |
248,671 |
252,811 |
||||
Diluted |
258,108 |
258,217 |
270,781 |
258,995 |
269,182 |
XILINX, INC. |
|||
CONDENSED CONSOLIDATED BALANCE SHEETS |
|||
(In thousands) |
|||
December 30, 2017 |
April 1, 2017* |
||
(unaudited) |
|||
ASSETS |
|||
Current assets: |
|||
Cash, cash equivalents and short-term investments |
$ 3,541,576 |
$ 3,321,457 |
|
Accounts receivable, net |
352,849 |
243,915 |
|
Inventories |
226,533 |
227,033 |
|
Other current assets |
76,925 |
87,711 |
|
Total current assets |
4,197,883 |
3,880,116 |
|
Net property, plant and equipment |
303,984 |
303,825 |
|
Long-term investments |
102,375 |
116,288 |
|
Other assets |
515,377 |
440,303 |
|
Total Assets |
$ 5,119,619 |
$ 4,740,532 |
|
LIABILITIES AND STOCKHOLDERS' EQUITY |
|||
Current liabilities: |
|||
Accounts payable and accrued liabilities |
$ 429,421 |
$ 386,301 |
|
Deferred income on shipments to distributors |
32,974 |
54,567 |
|
Current portion of long-term debt |
— |
456,328 |
|
Total current liabilities |
462,395 |
897,196 |
|
Long-term debt |
1,730,211 |
995,247 |
|
Deferred tax liabilities |
110 |
317,639 |
|
Long-term income taxes payable |
531,522 |
4,503 |
|
Other long-term liabilities |
30,747 |
16,908 |
|
Temporary equity |
— |
1,406 |
|
Stockholders' equity |
2,364,634 |
2,507,633 |
|
Total Liabilities and Stockholders' Equity |
$ 5,119,619 |
$ 4,740,532 |
|
* Derived from audited financial statements |
XILINX, INC. |
||||||||||
SUPPLEMENTAL FINANCIAL INFORMATION |
||||||||||
(Unaudited) |
||||||||||
(In thousands) |
||||||||||
Three Months Ended |
Nine Months Ended |
|||||||||
December 30, 2017 |
September 30, 2017 |
December 31, 2016 |
December 30, 2017 |
December 31, 2016 |
||||||
SELECTED CASH FLOW INFORMATION: |
||||||||||
Depreciation |
$ 11,452 |
$ 11,732 |
$ 11,110 |
$ 34,416 |
$ 33,917 |
|||||
Amortization |
5,458 |
3,432 |
4,887 |
12,619 |
12,601 |
|||||
Stock-based compensation |
36,801 |
36,372 |
30,867 |
105,209 |
90,073 |
|||||
Net cash provided by operating activities |
184,686 |
202,140 |
105,584 |
577,734 |
627,813 |
|||||
Purchases of property, plant and equipment |
6,791 |
12,223 |
19,875 |
28,940 |
51,825 |
|||||
Payment of dividends to stockholders |
89,491 |
86,957 |
83,256 |
263,751 |
250,733 |
|||||
Repurchases of common stock |
73,290 |
170,454 |
213,844 |
310,806 |
413,983 |
|||||
Net proceeds (withholding) from issuance of |
||||||||||
common stock to employees |
(2,131) |
(23,765) |
1,195 |
(24,826) |
10,708 |
|||||
STOCK-BASED COMPENSATION INCLUDED IN: |
||||||||||
Cost of revenues |
$ 2,188 |
$ 2,147 |
$ 1,945 |
$ 6,486 |
$ 5,994 |
|||||
Research and development |
20,217 |
20,096 |
17,154 |
57,779 |
48,803 |
|||||
Selling, general and administrative |
14,396 |
14,129 |
11,768 |
40,944 |
35,276 |
Investor Relations Contact:
Suresh Bhaskaran
Xilinx, Inc.
(408) 879-4784
ir@xilinx.com
SOURCE Xilinx, Inc.