pcquote.newsalert.com
pcquote.newsalert.com
Quote Services Menu | MarketSmart Delayed | MarketSmart Real-Time
News Alert News Search | PC Quote Home Page
Headlines Previous Story Next Story
C-Cube Reports Revenue and Profits for Second
Quarter of 1997
Business Wire - July 17, 1997 16:02
C-CUBE-MICROSYSTEMS CUBE %CALIFORNIA %COMPUTERS %ELECTRONICS %COMED
%EARNINGS V%BW P%BW
Jump to first matched term
MILPITAS, Calif.--(BUSINESS WIRE)--July 17, 1997--C-Cube Microsystems Inc.
(NASDAQ:CUBE), a market leader in digital video, today announced financial results for its
second quarter, which ended June 30, 1997.
Revenues for the second quarter were $71.1 million. Net income for the second quarter was
$7.7 million, or $0.20 per share on 38.1 million shares.
In 1996, C-Cube reported revenues of $73 million in the second quarter and earnings per
share of $0.39. For the first quarter of this year, C-Cube reported $94.1 million in revenues
and earnings per share of $0.41. The revenue decline from the first quarter resulted primarily
from reduced prices and volumes of MPEG 1 decoder chips used in VideoCD players sold
into China.
During the second quarter, C-Cube continued to grow its market opportunities with the
introduction of new products. In May, C-Cube introduced its next-generation ZiVA DVD
decoders with SecureView technology, the industry's first single-chip DVD decoder to
incorporate CSS copy protection and decryption.
By tightly coupling SecureView with the video, audio and system decoding functions in a
single-chip solution, C-Cube has developed the industry's most secure DVD decoder. The
level of security achieved with SecureView ensures content owners that their copyrights will be
protected on the DVD format, encouraging the release of new Hollywood content.
In June, C-Cube introduced a new category of PC peripherals with the launch of the MVP
(MPEG Video Peripheral) for the mainstream PC market. MVPs are low-cost, easy-to-install
external devices based on C-Cube's single-chip VideoRISC processor. These devices
connect to a desktop or notebook PC and allow users to easily capture and record
high-quality video or still images into their computers.
In the second quarter, DiviCom expanded its worldwide presence. Mark Carrington joined the
company as vice president of sales and services overseeing all worldwide sales operations and
integration services. DiviCom also opened sales offices in the U.K. and France to serve the
growing markets in Europe, Africa and the Middle East.
DiviCom secured several new deployments during the second quarter. The company provided
head-end equipment to Thomson Consumer Electronics and Pacific Telesis for the new digital
wireless cable system serving the greater Los Angeles area. Internationally, DiviCom is
providing Optus Communications in Australia and Telelfonica in Spain with digital video
networking systems and services.
The company also announced that it is deploying digital video networking equipment for
Taiwan-based SpaceTV, a direct-to-home satellite system serving Chinese audiences in
Northeast Asia, Australia and North America.
About C-Cube Microsystems
C-Cube Microsystems Inc. is the industry leader in the development and delivery of highly
integrated digital video silicon solutions that address the consumer electronics, communications
and convergence markets. C-Cube is headquartered in Milpitas, California with offices in
North America, Europe, and Asia. Its stock is traded on the NASDAQ National Market
System under the symbol CUBE. C-Cube can be reached at +1-408/944-6300 or on the
World Wide Web at c-cube.com .
C-CUBE MICROSYSTEMS INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
June 30, December 31,
1997 1996
(Unaudited)
ASSETS
Current assets:
Cash and equivalents $117,129 $76,241
Short-term investments 9,513 6,005
Receivables -- net 42,871 40,706
Inventories 21,471 28,056
Deferred taxes and other
current assets 35,414 41,669
------- -------
Total current assets 226,398 192,677
Property and equipment -- net 25,452 22,653
Production capacity rights 20,650 46,200
Distribution rights -- net 1,730 1,812
Purchased technology -- net 11,151 12,895
Other assets 3,124 3,278
------- -------
Total $288,505 $279,515
======= =======
LIABILITIES AND STOCKHOLDERS EQUITY
Current liabilities:
Notes payable $ -- $ 24,500
Accounts payable 17,119 18,320
Accrued liabilities 28,811 24,533
Current portion of
long-term obligations 715 837
------ ------
Total current liabilities 46,645 68,190
Long-term obligations 92,115 92,140
------- -------
Total liabilities 138,760 160,330
------- -------
Minority interest in subsidiary 530 613
Stockholders equity:
Common stock 198,181 191,044
Deferred stock compensation (39) (250)
Notes receivable from stockholders -- (305)
Accumulated translation adjustments (1,302) (1,238)
Unrealized loss on investments (38) (13)
Accumulated deficit (47,587) (70,666)
------- -------
Total stockholders equity 149,215 118,572
------- -------
Total $288,505 $279,515
======= ========
C-CUBE MICROSYSTEMS INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)
Quarter Ended Six Months Ended
June 30, June 30,
1997 1996 1997 1996
Net revenues $71,098 $72,958 $165,230 $141,058
Costs and expenses:
Cost of revenues 31,278 33,561 72,253 65,540
Research and development 15,450 9,363 31,062 16,213
Selling, general and
administrative 12,340 8,294 25,410 16,094
------- ------ ------- -------
Total 59,068 51,218 128,725 97,847
------- ------ ------- -------
Income from operations 12,030 21,740 36,505 43,211
Other income (expense), net (535) 237 (1,602) 708
------- ------ ------- -------
Income before income taxes
and minority interest 11,495 21,977 34,903 43,919
Income tax expense 3,949 8,131 11,907 15,811
------- ------ ------- -------
Income before minority
interest 7,546 13,846 22,996 28,108
Minority interest in net
income (loss) of
subsidiary (138) -- (83) 681
------ ------ ------ ------
Net income $7,684 $13,846 $23,079 $27,427
====== ====== ====== ======
Net income per share $0.20 $0.39 $0.61 $0.76
====== ====== ====== ======
Shares used in computation 38,128 35,697 38,036 35,869
====== ====== ====== ======
CONTACT: C-Cube Microsystems
Mary Sharpless-Giani, 408/944-8628 (Media)
John Hagedorn, 408/944-6300
Headlines Previous Story Next Story
All content is compiled from a variety of sources by News Alert and provided as a service of PC Quote.
See important copyright information. Refresh your screen often for the latest information.
c 1997 News Alert Inc. |
