Product category:
Power Supply ICs and Controllers
News Release from: International Rectifier
Edited by the Electronicstalk Editorial
Team on 02 May 2005
IR on track to higher margins
International Rectifier has reported adjusted earnings of $41.7 million (or $0.56 per share) for the March quarter - a 40% increase over the prior-year quarter.
International Rectifier has reported adjusted earnings of $41.7 million (or $0.56 per share) for the March quarter - a 40% increase over the prior-year quarter This compares with $44.8 million (or $0.62 per share) for the December quarter
This article was originally published on Electronicstalk on 15 Feb 2001 at 8.00am (UK)
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Two new 20V HEXFET power MOSFET families from International Rectifier are designed to increase efficiency by up to 4% in 12V-input DC/DC convertors.
For the March, December and prior-year quarters adjusted earnings excluded $8.1 million, $6.8 million and $9.9 million in pretax charges, respectively, for severance and restructuring activities announced in December 2002.
A one-time $5.9 million net pretax gain from a patent settlement also is excluded from March 2004 adjusted earnings.
On a GAAP basis, net income increased $35.6 million (or $0.48 per share) for the March quarter versus $26.7 million (or $0.39 per share) for the prior-year quarter and was $39.5 million (or $0.55 per share) in the December 2004 quarter.
Further reading
MOSFETs improve power density on both sides
New from International Rectifier are two TO-220-packaged HEXFET power MOSFETs that maximise power density and performance in primary- and secondary-side DC/DC convertor circuits.
Rad-hard MOSFETs protect and survive
With high radiation hardness and unparalleled single event effect (SEE) immunity, International Rectifier's new R5 MOSFETs are well suited for systems that must survive penetrating gamma rays.
Reference design simplifies high-efficiency PSUs
International Rectifier has released a reference design for its recently introduced IR1176 application-specific synchronous rectification IC (SRIC).
Chief Executive Officer Alex Lidow stated: "Our focus on proprietary product sales resulted in a record gross margin of 44.4%, an increase of 110 basis points from the December quarter and 480 basis points from the prior-year quarter".
"IR's proprietary product revenues grew 19% over the prior-year quarter".
"We generated $142 million in cash from operations through the first nine months of fiscal 2005 and ended the third quarter with over $850 million in total cash and cash investments".
Revenues were $281.9 million in the March quarter compared with $275.4 million in the prior-year quarter.
Revenues declined 6% from the December quarter, reflecting the planned discontinuation of low margin products and normal seasonal patterns in the consumer and information technology sectors.
Revenues from high performance analogue ICs and advanced circuit devices grew 24% from the prior-year quarter and now comprise 59% of revenues.
Overall, proprietary products represent 70% of product revenues.
Proprietary product orders rose 10% from the December quarter and represented 76% of total company orders compared with 66% in the prior-year quarter.
Company bookings were up 7% from the December quarter, led by an increase in power systems used in energy-saving applications, automotive systems and high-reliability aerospace systems.
The company achieved a steady increase in orders each month throughout the quarter.
That strength has continued in April with orders up over January levels.
IR shipments into the distributor channel declined 6% from the December quarter and distributor shipments to their customers were down 2%.
Pricing was down 1.5% from the prior period, consistent with the company's expectations.
Proprietary product design wins reached record levels in the March quarter.
In automotive, Bosch, Continental Temic, Osram and SiemensVDO selected International Rectifier for their advanced technology programmes, such as high intensity discharge (HID) lighting and engine preheat systems.
Whirlpool, Midea (China's second largest appliance manufacturer), Sanyo and Philips chose International Rectifier's ICs and advanced circuit devices for energy-efficient appliance and lighting applications.
Industry leaders in the information technology sector selected IR's products for 19 new notebook and desktop designs for Intel's latest platforms.
In high performance servers, IR won 35 new designs with the leading server suppliers in current- and next-generation systems, including those with dual-core and multiprocessor platforms.
In the June quarter, revenues are expected to remain at March levels, plus or minus 4%.
IR currently has more than 80% backlog coverage of target revenue for the June quarter.
Overall gross margin is expected to be flat sequentially, plus or minus a point.
Lidow stated: "We are on track to achieve our target that we set in January to realise a 50% gross margin by June 2006".
"Two major factors driving the growth of power management are the accelerating demand for energy-conserving products and an emerging technology shift in IT.
Energy conservation continues to be a major focal point in world economies and IR's power management solutions are proving vital in helping to meet the challenges".
"In fact, we've seen our revenues grow 58% year to date in energy-conserving appliance and lighting applications".
"In information technology, WiMAX is opening up a new IT growth frontier allowing for increased communications bandwidth".
"This expands opportunities for IR on both the transmission and reception ends of the market, while opening up significant new markets for increased power management content in the new generation of basestations, enterprise servers, notebook computers, digital TVs, and Class D audio".
"WiMAX will greatly increase the utility of mobile products such as notebook computers and PDAs, accelerating demand for these products".
"This new dynamic will add significantly to our robust notebook business which saw orders up over 90% in the first nine months of fiscal 2005".
"Over the past four quarters, International Rectifier has added over $200 million in new business at 71% incremental gross margin".
"During that same period we have been awarded more than half a billion dollars of new design wins which will contribute to IR's growth over the next four to six quarters".
"With these successes, we're on track to reach our target of 50% company gross margin by June 2006".
"Beyond that, we see even higher levels".
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