News

27 May 2009

 

Cree raises June-quarter revenue target by 5%

LED chip, lamp and lighting fixture maker Cree Inc of Durham, NC, USA has raised its revenue target for its fiscal fourth-quarter 2009 (ending 28 June) by about 5%, from $136-143m (announced on 21 April) to $143-150m, due mainly to stronger LED component bookings for lighting-related applications, as well as higher LED chip bookings for notebook PC backlighting. This represents a bounce-back from the March-quarter’s sequential revenue decline of 11%, to $131.1m. The new forecast for the June quarter therefore represents growth of between 4% and 14% quarter-to-quarter (and 29-35% from $111.2m a year ago).

Gross margin is targeted to be at the higher end of previously targeted levels (of 36-38% non-GAAP, versus 36.9% in the March quarter). Cree has also raised its targets for GAAP earnings from $0.0 5-0.07 to $0.07-0.09 per diluted share and for non-GAAP earnings from $0.13-0.15 to $0.15-0.17 per diluted share (excluding expenses related to the amortization of acquired intangibles of $0.03 per diluted share, and stock-based compensation expense of $0.05 per diluted share).

“We are pleased with the strong booking trends for Q4,” says chairman & CEO Chuck Swoboda. “We also remain optimistic about the growth potential for LED lighting in fiscal 2010, although there is some near-term execution risk as we ramp up production to meet these higher targets,” he cautions. Operating expenses are expected to be about $46m, up slightly from the March quarter’s $44.4m.

See related item:

Cree’s revenue falls 11%, but 5-9% rebound expected this quarter

Search: Cree LEDs

Visit: www.cree.com