Semiconductor company Ceva Inc. (Nasdaq:CEVA); LSE:CVA) released first quarter financials today.
The company had revenue of $15.1 million in the quarter, representing an increase of 42% compared with the $10.6 million reported for the first quarter of 2010. Royalty revenue for the first quarter was a record $9.2 million, 85% higher than the $5 million reported for the first quarter of 2010.
GAAP net profit for the first quarter of 2011 was $4.7 million, representing an increase of 126% over the $2.1 million reported for the same period in 2010. GAAP diluted earnings per share for the first quarter of 2011 were $0.19, compared with $0.09 for the first quarter of 2010.
Non-GAAP net profit and diluted earnings per share for the first quarter of 2011 was $5.5 million and $0.23, respectively, representing an increase of 109% and 92%, respectively, over the $2.6 million and $0.12 reported for the first quarter of 2010.
Both revenue and earnings per share beat analysts' estimates.
CEVA CEO Gideon Wertheizer said, "Our rapid market share expansion in cellular baseband for both handsets and non-handsets continues, with more than 210 million CEVA-powered wireless chipsets shipped during the quarter. On licensing, our best of breed DSP, the CEVA-XC, was selected by new key players in the wireless infrastructure and smart grid markets, thereby continuing our expansion beyond handsets to new, strategic and high volume markets."
CFO Yaniv Arieli pointed to GAAP and non-GAAP gross margins of 94%, and added "We also bolstered our strong balance sheet with the addition of approximately $12 million in positive cash flow. At the end of the quarter, our cash balance, marketable securities and bank deposits totaled $143 million."
CEVA has raised its guidance for 2011 as a whole, and now sees revenue of $55.6-57.6 million, 24-28% more than in 2010, and earnings per share excluding options expenses of $0.76-0.82, representing growth of 36-46% over 2010, and up from previous earnings per share guidance of $0.72-0.76.
CEVA's share price is currently up 2.41% at $30.99, giving a market cap of $707 million.
Published by Globes [online], Israel business news - www.globes-online.com - on April 27, 2011
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