Fabless InfiniBand processor developer Mellanox Technologies Ltd. (Nasdaq:MLNX; TASE:MLNX) continued its sequential revenue and non-GAAP profit growth to reach another record quarter in the fourth quarter of 2009, in the process beating analysts' forecasts. The company published its financial report for the fourth quarter and full-year of 2009 after the markets closed yesterday.
Mellanox posted $35.5 million revenue for the fourth quarter, 40.9% more than the $25.2 million for the corresponding quarter of 2008, and 8.7% more than the $32.7 million for the preceding quarter. The company beat the analysts' revenue consensus estimate of $34.8 million.
GAAP-based net profit fell to $4.3 million ($0.12 per share) from $8 million for the corresponding quarter and $4.8 million for the preceding quarter.
Non-GAAP net profit rose 115% to $9.9 million ($0.28 per share) from $4.4 million for the corresponding quarter, and up 12% from the preceding quarter. The company beat the analysts' earnings per share consensus estimate of $0.22 by $0.06.
For 2009 as a whole, Mellanox's revenue rose 7.7% to $116 million from $107.7 million revenue in 2008. GAAP-based net profit fell to $12.9 million ($0.39 per share) from $22.4 million in 2008. Non-GAAP net profit fell to $28.7 million ($0.81 per share) from $32.2 million in 2008.
The fourth quarter GAAP-based net profit was affected by a $1.9 million tax charge and $3.8 million charge for share-based compensation.
Cash flow from operations totaled $7.3 million in the fourth quarter and $32.8 million for the year as a whole, boosting cash and cash equivalents to $213.2 million at the end of 2009.
Mellanox chairman, president and CEO Eyal Waldman said, “This year we saw worldwide Tier-1 server OEM integration of our 40Gb/s InfiniBand adapter products, and achieved design-win momentum and Tier-1 server OEM adoption of our 10 Gigabit Ethernet adapters and InfiniBand switch system products."
Mellanox's share rose 5.4% on Nasdaq yesterday to NIS 18.87, giving a market cap of $609 million. The share rose 7.2% at the opening on the TASE today to NIS 72.50. The share prices has more than doubled in the past year, ending January 2009 at $8.64.
Published by Globes [online], Israel business news - www.globes-online.com - on January 28, 2010
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