RF Micro Devices Provides Revised June Quarter Guidance
GREENSBORO, N.C.
--(BUSINESS WIRE)--June 7, 2002--RF Micro Devices, Inc. (Nasdaq: RFMD - News), a leading provider of proprietary radio frequency integrated circuits (RFICs) for wireless communications applications, today provided updated guidance for its fiscal 2003 first quarter, ending June 30, 2002.
The Company currently expects revenues for the quarter to be in the range of $98 million to $101 million and for the quarter to be slightly profitable with earnings per share of approximately $0.00. This compares to guidance provided on April 16, 2002 that called for revenues to be in the range of $107 million to $110 million and earnings per share to be in the range of $0.02 to $0.03. By comparison, in the same period in fiscal 2002 quarterly revenues were approximately $70.1 million, and the quarterly loss per share was $(0.05), excluding a special charge, and $(0.17) including the special charge.
The anticipated shortfall in quarterly revenues is due primarily to customer push-outs of orders that were booked in the March quarter and had been expected to ship in the June quarter. These push-outs are related mainly to the timing of introductions of certain new handset models that have been delayed by factors beyond RFMD's control. The push-outs are being partially offset by increased order activity and shipments of components to multiple first- and second-tier handset customers. These orders are currently shipping and are expected to contribute to revenue growth in the September quarter. Based on backlog and customer forecasts, the Company currently expects revenues and earnings will increase sequentially in the September quarter.
Dave Norbury, chief executive officer of RF Micro Devices, said, "While we are disappointed to revise our guidance downward for the quarter, we are encouraged by the mounting evidence of our diversification efforts, which is partially offsetting the revenue shortfall and we expect will soon lead to the addition of a new ten-percent customer. We are also optimistic about new GSM power amplifier sales to a leading handset manufacturer that has historically purchased our CDMA small signal devices and we believe will become a top customer this year.
"We believe we are increasingly represented in the handsets of the world's leading handset manufacturers, and we expect our market share gains will help drive our revenue growth as handset volumes increase. We are also encouraged by our ongoing growth in wireless LAN products and by design activity and initial interest in our POLARIS(TM) TOTAL RADIO(TM) transceiver, which we increasingly believe will contribute to revenues this fiscal year."
RF Micro Devices will conduct a conference call at 9:00 a.m. ET this morning to discuss today's press release and comment on the Company's outlook. The conference call will be broadcast live over the Internet and can be accessed by any interested party at www.streetevents.com or www.rfmd.com (under Investor Relations). The call will also be available live by dialing (303) 262-2140, and a replay will be available by dialing (303) 590-3000 and entering pass code 477266.
RF Micro Devices, Inc., an ISO 9001-certified manufacturer, designs, develops, manufactures and markets proprietary RFICs primarily for wireless communications products and applications such as cellular and PCS phones, base stations, wireless LANs, and cable television modems. The Company offers a broad array of products - including amplifiers, mixers, modulators/demodulators, and single-chip receivers, transmitters and transceivers - representing a substantial majority of the RFICs required in wireless subscriber equipment. The Company's strategy is to focus on wireless markets by offering a broad range of standard and custom-designed RFICs in order to position itself as a "one-stop" solution for its customers' RFIC needs. RF Micro Devices, Inc. is traded on the Nasdaq National Market under the symbol RFMD.
This press release contains forward-looking statements that relate to RF Micro Devices' plans, objectives, estimates and goals. Words such as "expect," "anticipate," "intend," "plan," "project," "believe," and "estimate," and variations of these words and similar expressions, identify these forward-looking statements. RF Micro Devices' business is subject to numerous risks and uncertainties, including variability in quarterly operating results, the rate of growth and development of wireless markets, risks associated with the operation of wafer fabrication facilities, the Company's ability to manage rapid growth and to attract and retain skilled personnel, variability in production yields, raw material availability, manufacturing capacity constraints, dependence on a limited number of customers and dependence on third parties. These and other risks and uncertainties, which are described in more detail in RF Micro Devices' most recent Annual Report on Form 10-K and its prospectus dated March 18, 2002 included in its Registration Statement on Form S-3 (Registration No. 333-74578) filed with the Securities and Exchange Commission, could cause actual results and developments to be materially different from those expressed or implied by any of these forward-looking statements.
RF MICRO DEVICES®, RFMD®, POLARIS(TM) and TOTAL RADIO(TM) are trademarks of RFMD, LLC. All other tradenames, trademarks and registered trademarks are the property of their respective owners.
For more information about RFMD, please visit our website at www.rfmd.com.
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Contact:
RF Micro Devices
Dean Priddy, Chief Financial Officer
Doug DeLieto, Director of Investor Relations,
336/663-1233 |
