Free Post Earnings Research Report: Microsemi’s Sales Increased 7.6%; Adjusted EPS Advanced 17.4%

Stock Monitor: Cabot Microelectronics Post Earnings Reporting

LONDON, UK / ACCESSWIRE / January 31, 2018 / Active-Investors.com has just released a free earnings report on Microsemi Corp. (NASDAQ: MSCC). If you want access to this report all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=MSCC. Microsemi reported its first quarter fiscal 2018 operating and financial results on January 24, 2018. The maker of semiconductors for power management surpassed revenue estimates, while earnings came in-line with market expectations. The Company also provided guidance for the upcoming quarter. Register today and get access to over 1,000 Free Research Reports by joining our site below:

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Active-Investors.com is currently working on the research report for Cabot Microelectronics Corporation (NASDAQ: CCMP), which also belongs to the Technology sector as the Company Microsemi. Do not miss out and become a member today for free to access this upcoming report at:

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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Microsemi most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

www.active-investors.com/registration-sg/?symbol=MSCC

Earnings Highlights and Summary

For its first quarter of fiscal year 2018 ended December 31, 2017, net sales for Microsemi jumped 7.6% to $468.7 million compared to net sales of $435.5 million in Q1 FY17. The Company’s Vectron International acquisition, which Microsemi acquired in November 2017, contributed approximately $8.5 million in net sales to the reported quarter. Excluding Vectron, the Company’s net sales increased 5.6% on a y-o-y basis. The Company’s reported numbers topped analysts’ estimates of $460.1 million.

For Q1 FY18, Microsemi posted GAAP gross margin of 61.6% compared to GAAP gross margin of 63.5% in Q1 FY17. The Company’s reported quarter gross margin included the effect of non-cash purchase accounting charges related to profit from acquired inventory of $5.2 million and $2.4 million in inventory charges related to the closure of a non-strategic operation. The Company’s non-GAAP gross margin in the reported quarter was 63.2%, inclusive of the high-performance timing business of Vectron International. Microsemi’s non-GAAP gross margin was 63.5% in Q1 FY17.

During Q1 FY18, Microsemi’s GAAP operating income totaled $59.5 million compared to GAAP operating income of $75.4 million in Q1 FY17. The Company’s GAAP operating margin for the reported quarter was 12.7% compared to 12.8% in the year earlier same quarter. Microsemi’s non-GAAP operating income jumped 13.6% to $150.8 million for Q1 FY18 compared to $132.7 million reported in Q1 FY17. The Company’s non-GAAP operating margin for the reported quarter was 32.2%, up 170 basis points from 30.5% in the year earlier corresponding quarter.

Microsemi’s GAAP net income were $47.9 million, or $0.40 per diluted share, for Q1 FY18 compared to $19.5 million, or $0.17 per diluted share, for Q1 FY17. The Company’s reported quarter results included restructuring, facility closure, and other related charges of $6.4 million and acquisition-related costs of $1.4 million. Also included in net income were amortization of intangible assets of $50.3 million, stock-based compensation of $25.6 million, and debt extinguishment and other non-cash financing charges of $4.3 million.

For Q1 FY18, Microsemi posted non-GAAP net income of $120.1 million, or $1.01 per diluted share, compared to $99.8 million, or $0.86 per diluted share, for Q1 FY17. The Company’s earnings matched Wall Street’s estimates of $1.01 per share.

Cash Matters

Microsemi’s operating and free cash flows for Q1 FY18 were at $65.3 million and $55.4 million, respectively. The Company’s cash and cash equivalents at the end of the reported quarter were $166.6 million. Microsemi’s cash used for capital spending was $9.9 million in Q1 FY18 compared to $10.6 in Q1 FY17.

Business Outlook

For the second quarter of fiscal year 2018, Microsemi is forecasting net sales in the range of $477 million and $502 million and expects non-GAAP diluted earnings per share of between $0.93 and $1.07.

Stock Performance Snapshot

January 30, 2018 – At Tuesday’s closing bell, Microsemi’s stock slightly declined 0.31%, ending the trading session at $61.90.

Volume traded for the day: 2.59 million shares, which was above the 3-month average volume of 1.03 million shares.

Stock performance in the last month – up 18.61%; previous three-month period – up 17.48%; past twelve-month period – up 13.81%; and year-to-date – up 19.85%

After yesterday’s close, Microsemi’s market cap was at $7.15 billion.

Price to Earnings (P/E) ratio was at 41.27.

The stock is part of the Technology sector, categorized under the Semiconductor – Integrated Circuits industry.

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