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Technology Stocks : C-Cube -- Ignore unavailable to you. Want to Upgrade?

To: Stoctrash who wrote (48371)	1/20/2000 4:33:00 PM
From: Steve Fancy	Respond to of 50808

C-Cube Sets Quarterly, Annual Revenue Records; Semiconductor Division Expanding in Three Growth Markets BusinessWire, Jan 20, 2000 16:18 hrs MILPITAS, Calif.--(BUSINESS WIRE)--Jan. 20, 2000-- C-Cube Microsystems (NASDAQ:CUBE) today announced record revenues for the fourth quarter and for fiscal 1999. Revenues for the quarter totaled $115.7 million compared with $95.8 million for Q4 98 and $101.4 million for Q3 99. Total revenues for 1999 reached $407.6 million compared with $351.8 million for 1998. Net income for the fourth quarter was $18.6 million, or $0.40 per diluted share, 50% higher than the Q4 98 net income of $12.4 million, and a 33% increase over Q3 99. "Our fourth-quarter financial performance highlights an excellent year for C-Cube," said the company's Chief Executive Officer Alexandre Balkanski. During the quarter, C-Cube entered into a definitive agreement to combine its wholly-owned DiviCom subsidiary with Harmonic (NASDAQ:HLIT), and to spin off or sell its semiconductor business in a taxable transaction prior to the close. The transaction is currently expected to close in March, 2000. During the quarter, DiviCom joined partners MediaOne, Canal+ and Philips to launch the nation's first open digital cable-television architecture in Jacksonville, Florida. "The succession of major MSO's that have adopted DiviCom technology validate an accelerating trend toward a new, more open and competitive cable equipment market," said Tom Lookabaugh, President of DiviCom. "We are confident we can win in an open-cable equipment market because we have the technology, partners and expertise to target each customer's specific competitive situation." "C-Cube Microsystem's semiconductor division finished 1999 with excellent growth in our three key markets: DVD, CODEC (encoders/decoders) and digital set-top box," Padval said. "In the CODEC market, we have developed the only consumer-priced single-chip solution for a family of recordable digital video products including digital VHS, DVD-Recordable and personal video recorders. We established momentum in the growing digital satellite and cable set-top business this year with our important partners in the U.S., Europe and Japan.(a) C-Cube also delivered nearly 4 million DVD chips in 1999, more than doubling its 1998 DVD revenue and strengthening its position as an industry leader."(a) T Other fourth-quarter business achievements include: -- Cablevision selects DiviCom to provide digital television head-end equipment to its largest market, the New York metropolitan area. -- DiviCom teams up with 21 other members of the OpenCAS consortium to submit for standards-body approval a new set of open cable standards that will enhance services, increase competition and give greater choice to U.S. cable television consumers. -- DiviCom wins a head-end deployment for the first digital MMDS television system in China. -- Cisco Systems selects C-Cube's new single-chip DVxpert(TM) 5120 broadcast CODEC for its Video-Over-IP Networking product, the IP/TV 3400 Broadcast Server. The CODEC provides MPEG-1 and MPEG-2 video encoding for streaming video over the Internet. -- C-Cube and four industry leading hardware and software companies team up at COMDEX '99 to demonstrate the first generation of PC/TV, TV timeshifting and video editing products based on C-Cube's DVxplore(TM) MPEG-2 CODEC silicon. T About C-Cube C-Cube Microsystems Inc. is the industry leader in the development and delivery of highly integrated digital video silicon and systems solutions. C-Cube's Semiconductor Division delivers digital video silicon and systems solutions for the communications and consumer electronics markets. C-Cube's DiviCom Division is a leader in the deployment of digital video networks. C-Cube is headquartered in Milpitas, California with offices in North America, Europe, and Asia. Its stock is traded on the Nasdaq under the symbol CUBE. C-Cube can be reached at +1.408.490.8000 or at c-cube.com. C-Cube's DiviCom Division is based in Milpitas, Calif. and can be reached at +1.408.944.6700 or at divi.com. This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Actual results could differ materially from those projected in the forward-looking statements as a result of the risk factors set forth in the Company's Forms 10-K and 10-Q reports and in C-Cube Semiconductor Inc.'s Registration Statement on Form 10. The Company has attempted to identify forward-looking statements in this press release by placing an asterisk(a) following each sentence containing such statements. *T C-CUBE MICROSYSTEMS INC.

To: Stoctrash who wrote (48371)	1/20/2000 4:35:00 PM
From: Steve Fancy	Read Replies (2) \| Respond to of 50808

CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands) (Unaudited) December 31, December 31, 1999 1998 ------ ------- ASSETS Current assets: Cash and equivalents $ 144,296 $ 108,224 Short-term investments 175,357 99,603 Receivables - net 74,850 36,980 Inventories 19,335 16,073 Deferred taxes and other current assets 31,789 31,147 ---------- ---------- Total current assets 445,627 292,027 Property and equipment - net 35,349 29,622 Production capacity rights 4,985 12,600 Distribution rights - net 1,318 1,483 Purchased technology - net 4,194 5,921 Other assets 3,892 1,518 ---------- ---------- Total $ 495,365 $ 343,171 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 38,882 $ 19,942 Accrued liabilities 38,553 51,264 Current portion of long-term obligations 376 355 ---------- ---------- Total current liabilities 77,811 71,561 Long-term obligations 18,291 28,207 ---------- ---------- Total liabilities 96,102 99,768 Minority interest in subsidiary 471 28 Stockholders' equity: Common stock 323,756 225,265 Accumulated other comprehensive loss (2,204) (1,852) Retained earnings 77,240 19,962 Total stockholders' equity 398,792 243,375 ---------- ---------- Total $ 495,365 $ 343,171 C-CUBE MICROSYSTEMS INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share amounts) (Unaudited) Quarter Ended Year Ended December 31, December 31, 1999 1998 1999 1998 Net revenues $115,726 $95,800 $407,648 $351,797 Costs and expenses: Cost of revenues 50,944 44,071 181,891 160,839 Research and development 22,707 18,897 84,366 74,031 Selling, general and administrative 18,760 16,756 69,437 60,512 ------- ------- ------- ------- Total 92,411 79,724 335,694 295,382 ------- ------ ------- ------- Income from operations 23,315 16,076 71,954 56,415 Other income, net 3,372 1,692 10,456 4,239 ------- ------ ------- ------ Income before income taxes, minority interest and extraordinary item 26,687 17,768 82,410 60,654 Income tax expense 8,006 5,327 24,723 18,196 ------- ------- ------ ------ Income before minority interest and extraordinary item 18,681 12,441 57,687 42,458 Minority interest in net income (loss) of subsidiary 61 17 442 (337) ------- ------- ------ ------ Income before extraordinary item 18,620 12,424 57,245 42,795 Extraordinary gain on buyback of convertible notes -- -- 33 3,494 ------- ------- ------ ------ Net income $18,620 $12,424 $57,278 $46,289 ======= ======= ======= ======= Income per diluted share before extraordinary item $0.40 $ 0.31 $ 1.30 $ 1.11 Extraordinary gain per diluted share -- -- -- 0.09 -------- ------- ------- ------- Net income per diluted share $ 0.40 $ 0.31 $ 1.30 $ 1.19 Shares used in computation 47,424 40,708 44,571 40,754 ======= ======= ======= ======= *T CONTACT: C-Cube Microsystems Alan Markow, 408/490-8707 Corporate Communications alan.markow@c-cube.com Steven Horwitz, 408/490-8561 Investor Relations steven.horwitz@c-cube.com