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Technology Stocks : Alliance Semiconductor -- Ignore unavailable to you. Want to Upgrade?

To: Ram Seetharaman who wrote (4530)	1/21/1999 5:14:00 PM
From: DJBEINO	Read Replies (1) \| Respond to of 9582

5 CENTS LOSS BEATING THE ESTIMATES BY 2 CENTS DRAM/SRAM STABILIZES INVENTORY DOWN

To: Ram Seetharaman who wrote (4530)	1/21/1999 5:16:00 PM
From: DJBEINO	Read Replies (1) \| Respond to of 9582

Alliance Semiconductor Reports Financial Results for the Quarter Ended January 2, 1999 Business Editors SPECIAL ADVISORY: Except for historical information contained herein, the following material constitutes forward looking statements: actual results could differ materially from those projected in the forward looking statements, as set forth in the last paragraph of this communication. SAN JOSE, Calif.--(BUSINESS WIRE)--Jan. 21, 1999--Alliance Semiconductor Corporation (Nasdaq: ALSC - news) today reports net revenues of $13.3 million and a net loss of $2.1 million, or $.05 per share, for the third quarter of fiscal year 1999 ended January 2, 1999. Also included in the financial results is a net profit of $2.1 million, or $0.5 per share, attributable to recognition of the Company's share of income from United Semiconductor Corporation (USC), based on approximately 15.1% ownership. In the quarter, SRAMs accounted for 65% of revenue and DRAMs 34%. These results compare to net revenues of $24.8 million for the same quarter last year and a net loss of $2.4 million, or $0.6 per share, including a net profit of $3.8 million, or $.10 per share, attributable to recognition of the Company's share of income from USC. For the prior quarter ended September 27, 1998, revenues were $10.5 million and a net loss of $5.9 million, or $.14 per share. ''It appears that market prices for high performance SRAMs and DRAMs have stabilized and that overall demand is increasing, based on results during the past quarter and current sales activity'', according to N. D. Reddy, Chairman, President and CEO of Alliance. ''Revenues last quarter increased by 27% over the previous quarter and gross profit was positive for the first time since Q1 FY98 (June 97).'' Revenues for the third quarter include $1.5 million related to the reversal of accruals established in prior periods to cover potential sales returns which are no longer required. Reddy also states, ''We are aggressively pursuing new business opportunities with major OEM accounts in the networking, telecommunication, and consumer market segments and are cautiously optimistic about the general market conditions, as well as the Company's current quarter and next fiscal year.'' The Company continues to aggressively incorporate leading edge technologies in its SRAM and DRAM memory product lines. This should enable the Company to introduce low cost SRAM and DRAM products having higher speeds and smaller die sizes. As a result, the Company expects improved gross profit margins in the future. Inventories were further reduced by $4 million during the quarter in an effort to reduce market risk due to price fluctuations and improve the cash position. In the past few weeks, the Company added Dave Eichler as VP Finance & Administration and CFO, and Brad Perkins as VP and General Counsel. Brad Perkins recently joined Alliance from Valence Technology where he was VP and General Counsel and previously was Assistant General Counsel at VLSI Technology. These additions give the Company a complete management team. biz.yahoo.com