Revenue for the second quarter of 2009 was $32.5 million compared with $30.4 million for the first quarter of 2009 and with $36.5 million for the second quarter of 2008.
Second quarter 2009 net loss, determined in accordance with generally accepted accounting principles (GAAP), was $2.2 million or $0.10 per diluted share. By comparison, GAAP net income was $2.3 million or $0.10 per diluted share for the second quarter of 2008. GAAP net loss included stock-based compensation expense, the amortization of intangible assets, fair value inventory adjustments, acquisition-related costs, and one month of interest income on a $15.0 million bridge loan to RMI Corporation. Excluding these items, non-GAAP net income for the second quarter of 2009 was $8.4 million or $0.35 per diluted share, compared with $0.40 per diluted share for the second quarter of 2008.
Management Qualitative Comments
“This is a great time for NetLogic Microsystems,” said Ron Jankov, president and CEO. “Second Quarter results came in ahead of our expectations as we are seeing improving demand for our products across our end markets including enterprise and 10 Gigabit Ethernet, as well as continued momentum in the wireless and wireline markets. Further, the second quarter was another very strong quarter of design wins, with emphasis on our most advanced solutions designed in 55 nanometer technology. We also won a key Tier 1 design with our newest 3rd generation 20 Gigabit NETL7™ product, which was announced in April. We are excited by the strength of our business and the positive product cycle that we are entering, and we believe that our successful acquisition of IDT’s network search engine business and our pending merger with RMI positions us for a significant expansion of our total addressable market over the next several years.”
Recent Highlights
- NetLogic Microsystems announced the completion of the acquisition of certain assets associated with Integrated Device Technology Inc.’s (IDT) network search engine products in mid-July 2009. The acquisition includes IDT’s search accelerator, network search engine and route accelerator product families and related patents and intellectual property.
- NetLogic Microsystems and Taiwan Semiconductor Manufacturing Company announced their collaboration on the industry-leading 40nm-G semiconductor process technology for NetLogic Microsystems’ next-generation advanced knowledge-based processors and 10/40/100 Gigabit Ethernet physical layer (PHY) solutions. NetLogic Microsystems is one of first companies to tape-out and sample multiple silicon products in TSMC’s advanced 40nm technology node.
- The company announced the general availability of its NL33100 NETLite™ processor that delivers double the performance and IPv4/IPv6 database density compared to competitive solutions. These new NETLite processors enable a multitude of intelligent packet-based protocols at wire-speed on multi-Gigabit systems at lower power consumption and higher port density.
- NetLogic Microsystems and RMI Corporation, a leading provider of high-performance and low-power multi-core, multi-threaded processors, announced that they have entered into a definitive agreement to merge. The merger is subject to government review, approval by the stockholders of the Company of shares to be issued in connection with the merger, and other closing conditions. The Company expects the merger to close during the third quarter.
- NetLogic Microsystems announced a collaboration with BroadWeb Corporation to develop a hardware-accelerated application-aware management suite using NetLogic Microsystems’ NETL7™ family of Layer 7 knowledge-based processors to provide solutions, which can classify, monitor and manage networking sessions based on the applications which use the network.
- The company announced the third generation of its Layer 7 knowledge-based processor, the NLS2008, which is the industry’s first processor capable of performing Layer 7 content aware processing functions at 120-Gigabits per second. The NLS2008 processor provides deterministic and ultra-low latency inspection performance for hundreds of thousands of rules making the NLS2008 ideally suited for implementing distributed Layer 7 functions on high-performance enterprise, data center and carrier-class switch and router line cards.
Conference Call
NetLogic Microsystems will hold its second quarter 2009 financial
results conference call today at 1:30 p.m. Pacific time. To listen to
the conference call, dial (866) 788-0542 ten minutes prior to the start
of the call, using the passcode 30705548. International callers, dial
(857) 350-1680. A taped replay will be made available approximately two
hours after the conclusion of the call and will remain available for one
week. To access the replay, dial (888) 286-8010 and enter passcode
97816101. International callers dial (617) 801-6888.
