Lattice vs ALTERA....Lattice improves their increase in margins as a result of larger market share in the high density FPGA business.
Below is a comparison of Alter's earnings vs Lattice earnings....
Altera Reports Third Quarter 1996 Results (Oct. 9, 1996)
San Jose, Calif., October 9, 1996 - Altera Corporation (Nasdaq: ALTR) today reported that third quarter sales of $116.7 million were up 7% over the same period last year, and flat from the previous quarter.
Gross margin as a percentage of sales for the third quarter was 61.4%, up 0.7 percentage points over the same period last year and flat over the prior quarter. Gross margin improvements, on a yearly comparison, are attributed to improved manufacturing yields and reduced wafer prices after price reductions on several product families throughout the year.
Net income for the third quarter was $24.1 million, compared to $23.7 million for the third quarter of 1995 and $24.3 million for the previous quarter. Third quarter earnings per share, on a fully-diluted basis, were $0.52, which equaled the prior quarter and compared to $0.51 for the third quarter of 1995.
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Lattice Semiconductor Corp Reports 2nd Quarter 1996 Results (Oct. 14, 1996)
Lattice today announced financial results for its second fiscal quarter ended September 28, 1996. Revenue for the quarter was $48.6 million, flat with the revenue reported in the same quarter a year ago, and up slightly from last quarter's revenue of $48.2 million.
Net income for the quarter was $10.5 million, or $0.46 per share, an increase of seven percent from the $9.8 million ($0.49 per share) reported in the same quarter last year, and up slightly from last quarter's net income of $10.4 million ($0.46 per share).
Gross margin, as a percentage of revenue, for the quarter was 58.9 percent, up 0.4 percentage points from the same quarter last year and up 0.1 percentage points from last quarter. Improvement in gross margin resulted mainly from a shift in product mix towards proprietary high-density in-system programmable (ISP(TM)) products and from successful ongoing cost reduction programs.
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Note that LSCC Gross margins are increasing but not at the rate which Altera sees (ie. LSCC=58.9% vs Alter= 61.4%). The real picture shows that LSCC is now obtaining more of thier revenues from the high density line as their gross margins as a percentage of revenue incrreased .4 % points from last year AND MORE IMPORTANTLY up 0.1 percentage points from last quarter.
Perhaps now we will get the respect and PE which both Xlnx and Altera get.....That is PE of 25 to 30.
It looks as though our management is implementing their business plan of converting more of their sales into the high margin high density products.
EKS |
