Exhibit 99.1
Hittite Microwave Corporation Reports Financial Results for the First Quarter of 2011
CHELMSFORD, Mass.--(BUSINESS WIRE)--April 28, 2011--Hittite Microwave Corporation (NASDAQ:HITT) today reported revenue for the first quarter ended March 31, 2011 of $67.2 million, representing an increase of 24.1% compared with $54.2 million for the first quarter of 2010, and an increase of 2.5% compared with $65.6 million for the fourth quarter of 2010. Net income for the quarter was $20.2 million, or $0.66 per diluted share, an increase of 25.2% compared with $16.1 million, or $0.54 per diluted share, for the first quarter of 2010, and a decrease of 3.5% compared with $20.9 million, or $0.69 per diluted share, for the fourth quarter of 2010.
For the first quarter of 2011, revenue from customers in the United States was $30.0 million, or 44.6% of the company’s total revenue, and revenue from customers outside the United States was $37.2 million, or 55.4% of total revenue. Gross margin was 73.0% for the first quarter of 2011, compared with 73.4% for the first quarter of 2010 and 74.5% for the fourth quarter of 2010. Operating income for the first quarter was $31.2 million, or 46.4% of revenue. Total cash and cash equivalents at March 31, 2011 was $311.8 million, an increase of $16.3 million for the quarter.
Business Outlook
The company expects revenue for the second quarter ending June 30, 2011 to be in the range of $67.5 million to $69.5 million and net income to be in the range of $19.8 million to $20.6 million, or $0.64 to $0.67 per diluted share.
Webcast and Taped Replay
The company will host a conference call to discuss its financial results at 5:00 p.m. ET today. A live webcast of the call will be available online on the Hittite Microwave website. To listen to the live webcast, go to the Investors page of the Hittite Microwave web site at www.hittite.com and click on the webcast link located under News & Events. A telephonic replay of the call also will be available for one week after the live call by dialing (303) 590-3030, access code 4430193. Following the call, a webcast replay will also be available by visiting the Investors page at www.hittite.com.
About Hittite Microwave Corporation
Hittite Microwave Corporation is an innovative designer and manufacturer of high performance integrated circuits, or ICs, modules, subsystems and instrumentation for technically demanding digital, RF, microwave and millimeterwave applications covering DC to 110 GHz. The company’s standard and custom products apply analog, digital and mixed-signal semiconductor technologies, which are used in a wide variety of wireless & wired communication and sensor applications for the automotive, broadband, cellular infrastructure, fiber optic, microwave & millimeterwave communications, military, space and test & measurement markets. The company is headquartered in Chelmsford, Massachusetts.
“Safe Harbor Statement” under the Private Securities Litigation Reform Act of 1995
Statements in this press release regarding Hittite Microwave Corporation that do not relate to historical facts are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, any statements regarding our expectations as to future levels of revenue, net income and earnings per share. Readers are cautioned that these forward-looking statements are subject to risks and uncertainties and are only predictions, and actual future events and results may differ materially from these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: the impact of macro-economic conditions on demand for our products; our ability to effectively manage our costs and expenses in response to fluctuations in our growth rate; market acceptance of our new products; our ability to assess accurately our end market requirements; our success in maintaining the business of our significant customers; our ability to keep pace with new semiconductor processes; risks related to our dependence on third-party suppliers; regulatory, operational, financial and political risks inherent in operating internationally; competition within the semiconductor industry; product returns and warranty claims; the possibility that intellectual property claims initiated by or against us could be costly or have adverse outcomes; and other risks and uncertainties that are discussed under “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2010, as filed with the Securities and Exchange Commission.
| Hittite Microwave Corporation | |||||||
| Condensed Consolidated Balance Sheets (unaudited) | |||||||
| (In thousands) | |||||||
| March 31, 2011 | December 31, 2010 | ||||||
| Assets | |||||||
| Current assets: | |||||||
| Cash and cash equivalents | $ | 311,764 | $ | 295,490 | |||
| Accounts receivable, net | 38,110 | 34,534 | |||||
| Inventories | 24,166 | 23,219 | |||||
| Income taxes receivable | - | 3,914 | |||||
| Prepaid expenses and other current assets | 1,492 | 1,333 | |||||
| Deferred taxes | 8,868 | 8,178 | |||||
| Total current assets | 384,400 | 366,668 | |||||
| Property and equipment, net | 30,654 | 29,470 | |||||
| Other assets | 19,190 | 9,371 | |||||
| Total assets | $ | 434,244 | $ | 405,509 | |||
| Liabilities and Stockholders' Equity | |||||||
| Current liabilities: | |||||||
| Accounts payable | $ | 5,474 | $ | 3,228 | |||
| Accrued expenses | 9,089 | 9,173 | |||||
| Income taxes payable | 6,496 | - | |||||
| Deferred revenue and customer advances | 7,142 | 10,222 | |||||
| Total current liabilities | 28,201 | 22,623 | |||||
| Long-term income taxes payable | 6,602 | 6,845 | |||||
| Deferred taxes | - | 289 | |||||
| Total liabilities | 34,803 | 29,757 | |||||
| Total stockholders' equity | 399,441 | 375,752 | |||||
| Total liabilities and stockholders' equity | $ | 434,244 | $ | 405,509 | |||
| Hittite Microwave Corporation | ||||||||||
| Condensed Consolidated Statements of Operations (unaudited) | ||||||||||
| (In thousands except per-share data) | ||||||||||
| Three Months Ended March 31, | ||||||||||
| 2011 | 2010 | |||||||||
| Revenue | $ | 67,241 | $ | 54,193 | ||||||
| Cost of revenue | 18,161 | 14,421 | ||||||||
| Gross profit | 49,080 | 39,772 | ||||||||
| 73.0 | % | 73.4 | % | |||||||
| Operating expenses: | ||||||||||
| Research and development | 9,426 | 6,952 | ||||||||
| Sales and marketing | 5,438 | 4,621 | ||||||||
| General and administrative | 3,008 | 3,102 | ||||||||
| Total operating expenses | 17,872 | 14,675 | ||||||||
| Income from operations | 31,208 | 25,097 | ||||||||
| 46.4 | % | 46.3 | % | |||||||
| Interest and other income (expense), net | 59 | (25 | ) | |||||||
| Income before income taxes | 31,267 | 25,072 | ||||||||
| Provision for income taxes | 11,089 | 8,953 | ||||||||
| Net income | $ | 20,178 | $ | 16,119 | ||||||
| Earnings per share: | ||||||||||
| Basic | $ | 0.67 | $ | 0.55 | ||||||
| Diluted | $ | 0.66 | $ | 0.54 | ||||||
| Weighted Average Shares Outstanding: | ||||||||||
| Basic | 30,113 | 29,297 | ||||||||
| Diluted | 30,552 | 29,874 | ||||||||
CONTACT:
Hittite Microwave
William W. Boecke, 978-250-3343
V.P. and Chief Financial Officer