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Semiconductor manufacturer Skyworks Solutions Inc. (SWKS - Analyst Report) reported stellar second quarter fiscal 2013 results with revenues of $425.2 million, up 16.6% year over year. Revenues also surpassed management’s guidance of $420.0 million. Skyworks’ strategic diversification across OEMs (original equipment manufacturers) and chipset partners facilitated the consistent results despite the macroeconomic uncertainty.

The company reported a net income of $61.7 million or 32 cents per share in the second quarter of fiscal 2013, compared to $34.0 million or 18 cents per share in the year-earlier quarter. Excluding non-recurring items, adjusted earnings for the reported quarter were $91.9 million or 48 cents per share compared to $79.8 million or 42 cents in the year-ago quarter. The adjusted earnings exceeded the Zacks Consensus Estimate by 9 cents.

Skyworks continues to capitalize on global mobile connectivity ubiquity and demand for high-performance analog solutions across a diverse set of vertical markets. The company is rapidly expanding its footprint in complementary new verticals such as automotive, networking, medical and connected home. Skyworks continues to gain market share in adjacent vertical markets including automotive, medical, avionics, military, location services and broadband communications.

Mobile internet growth continues to be healthy, driven by smartphones and tablets. The need for high-performance analog solutions is expanding into brand-new markets, such as medical, automotive, military and industrial, thereby driving demand for broadband connectivity.

In recent times, macro trends such as social networking, cloud-based content and the explosion of audio and video streaming continue to unify, thus driving increased semiconductor content and complexity in smartphones, tablets, ultrabooks and e-readers as well as within the supporting network infrastructure.

Skyworks is actively participating in developing activities, which support major 2013 phone models that incorporate entirely new LTE bands to support deployments in Europe and Asia, which shall result in incremental addressable content.

The company generated $130.2 million in cash flow from operations and ended the quarter with cash and equivalents of $458.8 million. The company repurchased 1.4 million shares in the quarter.

Going forward, management expects healthy top- and bottom-line growth in third quarter fiscal 2013 with a more diversified margin-accretive product mix. Revenues for the third quarter are expected to be approximately $435 million, driven by new platform wins and design momentum. Skyworks also expects adjusted earnings per share of 53 cents in the third quarter of fiscal 2013.

The company believes that its strategy of diversifying its business, expanding into new verticals and continued focus on operational execution will drive growth even in a weak economic environment.

Skyworks present retains a Zacks Rank #4 (Sell). Other players in the industry include Parkervision Inc. (PRKR), Anadigics, Inc. (ANAD - Analyst Report), and Atmel Corporation (ATML - Analyst Report), each carrying a Zacks Rank #2 (Buy).

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