Thomas, MLIN is whats refered to as a mixed signal semiconductor producer. I don't directly sell their products, but I have looked through their '95 Data Book - my information is thus a bit dated. Mixed signal devices have both a digital section, and an analog section on the same device. These are frequently the most useful of real world devices. The markets for these type of devices fall into the traditional nitch applications, e.g. Analog to Digital converters, Digital to analog converters - serious devices but with limited growth relative to other segments of the mixed signal business. The more agressive growth segments of the mixed signal market, e.g. networking physical layer interface devices like eithernet, and FDDI devices; disk drive read/write devices; switch mode power supply controllers; notebook power management devices; ATM controllers; and motor controllers are all serviced by this company.
The limited growth business is a business with significant competitors , e.g. National Semi, Linear Tech, Maxim, and Analog Devices - all much larger and with greater resources, in short a very hard business - but with care a good business of slowly growing recouring revenues can, over time, be built. It is difficult and slow.
The second market segment, the segment characterized by meteoric growth, is a very high stakes game, and is best characterized as an all or nothing endeavor. Large quantities of cash are eaten to create new devices, that, if successful, will result in millions of units of a single device being shipped for a couple of years - ala the Cirrus graphic devices of a year or so ago. If the new product is a miss, millions of development dollars will have been spent with no resulting revenues. This is an addictive business, and some of the largest semi mfr's have fallen victim to this temptation, i.e. AMD, who fell behind Intel and felt the necessity to acquire NEXTGEN so that they would have a Pentium type device to sell. The average product life is very short, usually less than 2 years, with a limited number of customers who will potentially use the devices. Example: the power management device is targeted for notebook computers. The top 10 manufacturers represent the lions share of the units shipped. If you can't garner any of these manufacturer's current design sockets, your revenues will be disappointing. This is a business not for the faint of heart.
I attempt to find, not companies. but successful people. Successful people create symptoms of success, some of which are; are they a leader in their business segment, do they have a track record of leading products - ala Intel; profits, greater or less than competitors; %of sales going to R&D, Receivables days out < 50, Payables days out < 20, thus taking trade discounts; inventory turns per year, > 4 per year; GS&A as a % of sales, approx 20%; sales growth, >50% per year; Profit growth accellerating over sales growth. These are demanding requirements and virtually none of my picks do all of the above, some do just a few, some do none. How do I decide? consider the above then guess.
If you know something or are close to this company any or all of the above may be set aside in leu of personal knowledge, I have no personal knowledge of MLIN.
You pay your money, and takes your chances.
Sorry I couldn't be of more help, forgive any errors in this.
Mike |
