Rich:
Let me quote from that post your provided:
Xilinx officially ended their quarter on the 3rd of October.
They ended their previous quarter on the 27th of June.
Interestingly, this gave them a 98 day quarter, instead of the
normal 91 day quarter. In other words, they added an extra
week's income to their quarterly report! Companies benefit from
a 98-week quarter once in 5 or 6 years. You can check the
math out for yourself.
$ 156 M / 12 weeks = $ 13 M (approx.). So was technically
their quarterly results $ 143 M and NOT $ 156 M?
Did this boost their "seasonally weak quarterly results"?
Did Xilinx actually lose this money this quarter?
Your comments are welcome.
Well here is my comment:
This is the funniest comment/logic I have seen in a long time. The thinking done by the poster is very simplistic. I read the above post and it reminded me of a long time ago when I was in second grade and how simplistic I thought about things. One time I asked my teacher how come we dont fall off the planet earth if the planet is a supposed to be circle and not flat! Simplistic thinking and yet at surface a very logical question, is it not?!
Anyway, to be a bit more serious, a company's quarter results is based on the number of business/working days in that quarter, and not the number of weeks (which include hollidays and weekends).
So lets consider this past quarter: The extra week that is being referred to here consists of 7 days. Of these 7 days there is a weekend. That leaves us with 5 extra business (i.e. working) days. Then there are 2 official hollidays (July 4th, and the Labor day in September). That leaves us with 3 extra business days! If you look at September, August and July you notice that we have an extra weekend carried over from the previous quarter.
But lets assume the extra weekend is not carried over and we in fact are left with 3 extra business/working days in the quarter. Let me ask you the following: Do you really think the 3 extra days would have that much significance in the business of a company such as XLNX to leave them with an extra $13M dollars in pure earnings?!! If so, then imagine what would this coming quarter be like! If they can generate $13M dollars in additional Earnings every 3 days during a period when company is shut down due to official holidays, then this coming quarter will be a blast since we first have the Thanksgiving in November and then Christmas in December!! And who knows since January 1st (i.e. New Year) ends up right at the end of the quarter and usually business is shut down in that period anyway, we may end up with twice the additional earnings as this last quarter!!
Regards,
Addi Jamshidi |
