Back to top

Analyst Blog

Applied Micro Circuits Corp (AMCC - Analyst Report) reported GAAP net income of $10.9 million or 15 cents per share in the first quarter of fiscal 2014 (ending Jun 30, 2013) compared to a net loss of $23.4 million or loss of 37 cents a share in the year-ago quarter. The GAAP earnings outpaced the Zacks Consensus Estimate of a break-even result. Excluding non-recurring items, non-GAAP net income for the quarter was $1.4 million or 2 cents per share versus a net loss of $11.4 million or loss of 18 cents per share in the year-earlier quarter.

Net sales for the reported quarter came in at $54.1 million versus $41.3 million in the year-earlier quarter. Net sales for first quarter fiscal 2014 marginally beat the Zacks Consensus Estimate of $54.0 million. The year-over-year increase was primarily due to strength in base business and increased market presence of X-Gene products.

The X-Gene server-on-a-chip (SoC) product continued to progress rapidly and remains on track for commercial production, systems-development commitments and public demonstrations to multiple customers and ecosystem partners

Operating expenses stood at $24.6 million versus $47.9 million in the year-ago quarter. Selling, general and administrative expenses stood at $9.5 million versus $12.5 in the year-ago quarter. Research and development expenses were $34.5 million versus $34.8 in the prior-year period.

Applied Micro ended the quarter with cash, cash equivalents and short-term investments of $89.7 million versus $85.5 million as of Mar 31, 2013.

Applied Micro’s embedded SoC products gained traction in the Consumer Premise Equipment (CPE) and enterprise markets. The company has shipped over two million embedded processors to Wistron NeWeb Corporation – a provider of advanced wireless communications products to high-profile service providers.

Outlook

Applied Micro expects to continue its healthy revenue momentum with new product developments and increased market acceptance in the coming quarters.

Total revenue is expected to be in the range of $54 million to $56 million in second quarter fiscal 2014. Operating expenses is expected to range from $31.5 million to $32.5 million in the next quarter.

Applied Metro currently has a Zacks Rank #2 (Buy). Other stocks that look promising and are worth considering in the industry include Diodes Incorporated  (DIOD - Snapshot Report), LSI Corporation and OmniVision Technologies, Inc (OVTI - Analyst Report), each carrying a Zacks Rank #1 ( Strong Buy).
 

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
UNITED THER… UTHR 117.83 +28.51%
TRIQUINT SE… TQNT 20.67 +6.52%
RF MICRO DE… RFMD 12.47 +6.04%
VASCO DATA… VDSI 14.77 +4.68%
BANCO DO BR… BDORY 15.53 +3.95%