Exhibit 99.1
Hittite Microwave Corporation (ticker: HITT, exchange: NASDAQ) News Release -
April 24, 2008.
HITTITE MICROWAVE CORPORATION REPORTS FINANCIAL RESULTS
FOR THE FIRST QUARTER OF 2008
CHELMSFORD, MA - April 24, 2008 - Hittite Microwave Corporation
(NASDAQ:HITT) today reported revenue for the first quarter ended March 31, 2008
of $43.3 million, representing an increase of 19.2% compared with $36.3 million
for the first quarter of 2007 and an increase of 1.9% compared with $42.5
million for the fourth quarter of 2007. Net income for the quarter was $13.0
million, or $0.42 per diluted share, an increase of 8.8% compared with $12.0
million, or $0.39 per diluted share, for the first quarter of 2007, and a
decrease of 2.4% compared with $13.4 million, or $0.43 per diluted share, for
the fourth quarter of 2007.
"Our first quarter was a solid start to the year," said Stephen Daly,
Chairman and CEO. "During the quarter we introduced our 17th product line,
launched 12 new products and published our 13th annual designers' guide. We
believe our growth and expansion will continue as we move into 2008."
For the first quarter of 2008, revenue from customers in the United States
was $18.0 million, or 42% of the company's total revenue, and revenue from
customers outside the United States was $25.3 million, or 58% of total revenue.
Gross margin was 70.1% for the first quarter as compared with 71.3% for the
first quarter of 2007 and 70.8% for the fourth quarter of 2007. Operating income
for the first quarter was $18.7 million, or 43.1% of revenue. Total cash and
short-term investments at the end of the first quarter of 2008 was $181.2
million, an increase for the quarter of $16.5 million.
Hittite also announced today that its board of directors has authorized a
stock repurchase program. The purpose of this program is to offset share
dilution attributable to equity-based awards that have been made since the
company's initial public offering in 2005. The program authorizes the repurchase
of up to 1.7 million shares over a period of three years and authorizes
offsetting future equity grants with additional stock repurchases. The shares
may be repurchased from time to time on the open market or in privately
negotiated transactions. The timing, price and volume of repurchases will be
based on market conditions, relevant securities laws and other factors
considered appropriate by the company. The company may suspend or discontinue
the repurchase program at any time.
Business Outlook
The company currently expects revenue for the second quarter ending June
30, 2008 to be in the range of $44.0 million to $45.0 million and net income to
be in the range of $13.2 million to $13.6 million, or $0.42 to $0.43 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 Investor
Relations page of the Hittite Microwave web site at www.hittite.com and click on
the webcast icon located under Conference Calls. A telephonic replay of the call
also will be available for one week after the live call by dialing (719)
457-0820, access code 4364310. Following the call, a webcast replay will also be
available by visiting the Investor Relations page at www.hittite.com.
About Hittite Microwave Corporation
Hittite Microwave is an innovative designer and developer of high
performance integrated circuits, or ICs, modules and subsystems for technically
demanding radio frequency, or RF, microwave and millimeterwave applications.
Products include amplifiers, attenuators, data converters, frequency dividers
and detectors, frequency multipliers, high speed digital logic, interface,
mixers and converters, modulators and demodulators, oscillators, passives, phase
shifters, power detectors, sensors, switches, synthesizers and variable gain
amplifiers. Hittite's products are used in a variety of applications and end
markets including automotive, broadband, cellular infrastructure, fiber optic,
microwave and millimeterwave communications, military, space, and test and
measurement. The company utilizes radio frequency integrated circuits (RFIC),
monolithic microwave integrated circuits (MMIC), multi-chip modules (MCM) and
microwave integrated circuit (MIC) technologies. The company is headquartered in
Chelmsford, MA.
"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: market acceptance of our new products; our ability to
assess market requirements accurately; our success in maintaining the business
of our significant customers; our ability to keep pace with new semiconductor
processes; regulatory, operational, financial and political risks inherent in
operating internationally; competition within the semiconductor industry;
product returns and warranty claims; our ability to manage our growth and costs
effectively; our belief that growth and expansion of our business will continue
into 2008; protection of our intellectual property; the growth and fiscal
strength of our end markets; 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, 2007, as filed with the Securities and Exchange Commission.
Contact: William W. Boecke, V.P. and Chief Financial Officer
(978-250-3343)
Hittite Microwave Corporation
Condensed Consolidated Balance Sheets
(In thousands)
March 31, December 31,
2008 2007
-------- --------
Assets
- -------------------------------
Current assets:
Cash and cash equivalents $152,277 $ 65,735
Available-for-sale investments 28,919 99,007
Accounts receivable, net 24,256 22,253
Inventories 12,716 14,129
Deferred costs 233 242
Income taxes receivable -- 1,072
Prepaid expenses and other current assets 1,370 677
Deferred taxes 4,706 4,281
-------- --------
Total current assets
224,477 207,396
Property and equipment, net 18,738 18,824
Other assets 8,459 8,275
-------- --------
Total assets $251,674 $234,495
======== ========
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable $ 3,212 $ 2,647
Accrued expenses 6,419 6,121
Income taxes payable 3,978 --
Deferred revenue and customer advances 3,742 6,098
-------- --------
Total current liabilities 17,351 14,866
Long-term income taxes payable 3,226 3,180
Deferred taxes 157 156
-------- --------
Total liabilities 20,734 18,202
Total stockholders' equity 230,940 216,293
-------- --------
Total liabilities and stockholders' equity $251,674 $234,495
======== ========
Hittite Microwave Corporation
Condensed Consolidated Statements of Operations
(In thousands except per-share data)
Three Months
Ended March 31,
-------------------
2008 2007
------- -------
Revenue $43,292 $36,330
Cost of revenue 12,935 10,421
------- -------
Gross profit 30,357 25,909
70.1% 71.3%
------- -------
Operating expenses:
Research and development 5,712 4,409
Sales and marketing 4,006 2,866
General and administrative 1,967 1,744
------- -------
Total operating expenses 11,685 9,019
------- -------
Income from operations 18,672 16,890
43.1% 46.5%
Interest and other income, net 1,159 1,180
------- -------
Income before income taxes 19,831 18,070
Provision for income taxes 6,781 6,078
------- -------
Net income $13,050 $11,992
======= =======
Earnings per share:
Basic $ 0.42 $ 0.39
======= =======
Diluted $ 0.42 $ 0.39
======= =======
Shares used in the calculation of earnings per share:
Basic 30,728 30,496
======= =======
Diluted 31,272 31,138
======= =======