Revenue increased 12 percent sequentially from $14.4 million in the first quarter of 2001 to $16.1 million in the second quarter of 2001. However, this represents a 34 percent decline from the second quarter 2000 revenue of $24.3 million. Net loss from operations for the second quarter of 2001 was $1.5 million or $0.03 per share, excluding non-cash charges relating to the amortization of goodwill and deferred stock compensation, compared to net income of $5.0 million or $0.10 per share reported for the comparable quarter in 2000.
Research and development expenses increased to $7.1 million, a 61 percent increase from $4.4 million in the second quarter of 2000. This level of R & D spending reflects Silicon Labs’ strategy of continuing to invest in the development of new products to enhance the growth and product diversification of the company. Net loss for the second quarter of 2001, including noncash charges, was $0.11 per share compared to diluted earnings of $0.08 per share reported for the second quarter of 2000. Cash flow was positive for the second quarter of 2001, with ending cash and short-term investments of $97.2 million. At the end of the second quarter of 2001, the company’s headcount was 264, compared to 211 at the end of the second quarter of 2000.
Silicon DAA revenue increased nine percent over the prior quarter. Wireless and optical products combined delivered a 55 percent sequential revenue increase. The sequentially lower ISOmodem and ProSLIC revenue reflected the slowdown and inventory corrections in their respective end markets. Overall, revenue from products other than the DAA represented 32 percent of second quarter 2001 revenue. We are pleased with the continued revenue growth from our wireless and optical products and remain confident about the long-term future of our wireline products, said Nav Sooch, chairman and CEO of Silicon Laboratories. Additionally, the impressive array of new products being introduced this year will continue to drive broad customer adoption.
SOURCE: COMPANY PRESS RELEASE
