Dialog Semiconductor Reports Third Quarter 2004 Results
KIRCHHEIM/TECK, Germany--Oct. 2, 20040, 2004--Dialog Semiconductor Plc (FWB:DLG, Nasdaq:DLGS)-- Quarter Revenues of EUR 31.6M - 36% Growth Compared to Q3 2003
-- Year-to-Date Revenues Show a 30% Growth over the Same Period in 2003
-- Announced Collaboration with Carl Zeiss for High Quality Camera Modules
-- CDMA Cellular Handsets Now Shipping Using Dialog's Colour Display Driver ICs
Dialog Semiconductor Plc (FWB:DLG, Nasdaq:DLGS) today reported sales of EUR 31.6 million for the third quarter of 2004, a sequential increase of 4% over Q2 2004, and a 36% increase compared to EUR 23.2 million for Q3 of 2003. Net income in Q3 2004 was EUR 214 thousand - a significant improvement over the net loss of EUR 1.5 million in Q3 of 2003. Based on the year-to-date revenues of EUR 85 million compared to EUR 65.3 million for the same period in 2003, the company has maintained 30% growth. A significant development during the quarter was the announcement of the company's collaboration with Carl Zeiss to jointly develop very small but high quality camera modules for next generation camera phones. In addition, Dialog Semiconductor - in partnership with a Japanese display company - is now also supplying colour LCD driver ICs for CDMA phones developed for the US market.
Roland Pudelko, CEO & president said, "We are pleased with the performance during the first nine months, which is in line with our forecast to meet revenue growth of about 30%. We see positive signs for next year due to the continued growth in demand for smartphones and camera phones, as illustrated by data from industry analysts suggesting growth in the number of new handsets produced each year."
He added, "We are making further inroads with more of the major Far Eastern manufacturers of cellular handsets. As phones become more and more complex the critical issues facing our customers relate to conserving battery power while providing users with the most sophisticated multimedia features ever available. This is where we have continued to excel in providing our customers with the most integrated, highly complex power management devices as well as using our imaging and power management technology in camera phones and multiple display handsets and devices."
The Company's interim report as of September 30, 2004 is available at www.dialog-semiconductor.com.
Information about Dialog Semiconductor
Dialog Semiconductor Plc develops and supplies power management, audio and imaging technology, delivering innovative mixed signal standard products as well as application specific IC solutions for wireless, automotive and industrial applications. The company's expertise in mixed signal design, with products manufactured entirely in CMOS technology, enhances the performance and features of wireless, hand-held and portable electronic products. Its technology is also used in intelligent control circuits in automotive and industrial applications. Dialog Semiconductor Plc is headquartered near Stuttgart, Germany with additional design facilities in the UK, the USA, Austria and Japan. The company is listed on the Frankfurt (FWB: DLG) and NASDAQ (DLGS) stock exchanges.
Forward Looking Statement
This press release contains "forward-looking statements" that reflect management's current views with respect to future events. The words "anticipate," "believe," "estimate, "expect," "intend," "may," "plan," "project" and "should" and similar expressions identify forward-looking statements. Such statements are subject to risks and uncertainties, including, but not limited to: an economic downturn in the semiconductor and telecommunications markets; changes in currency exchange rates and interest rates, the timing of customer orders and manufacturing lead times, insufficient, excess or obsolete inventory, the impact of competing products and their pricing, political risks in the countries in which we operate or sale and supply constraints. If any of these or other risks and uncertainties occur (some of which are described under the heading "Risk Factors" in Dialog Semiconductor's most recent Annual Report and under the heading "Risk Factors" in Dialog Semiconductor's most recent Annual Report on Form 20-F filed with the Securities and Exchange Commission), or if the assumptions underlying any of these statements prove incorrect, then actual results may be materially different from those expressed or implied by such statements. We do not intend or assume any obligation to update any forward-looking statement, which speaks only as of the date on which it is made.
Selected Financial Data
Three months Three months
ended ended
(in thousands of EUR , September September Year ended
except per share, equity 30, 2004 30, 2003 December
ratio and employee data) (unaudited) (unaudited) 31, 2003
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Earnings data
--------------------------- ------------ ------------ ------------
Revenues 31,584 23,247 92,893
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Research and development (7,166) (7,296) (30,590)
--------------------------- ------------ ------------ ------------
Operating profit (loss) 124 (2,179) (13,224)
--------------------------- ------------ ------------ ------------
Net income (loss) 214 (1,502) (20,420)
--------------------------- ------------ ------------ ------------
Cash flow from operations (10,816) 2,445 7,588
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Balance Sheet data
--------------------------- ------------ ------------ ------------
Cash and cash equivalents 5,839 30,163 8,109
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Marketable securities 32,114 - 44,900
--------------------------- ------------ ------------ ------------
Liquid assets 37,953 30,163 53,009
--------------------------- ------------ ------------ ------------
Shareholders' equity 125,839 138,370 126,843
--------------------------- ------------ ------------ ------------
Equity ratio in % 86.4 89.3 90.3
--------------------------- ------------ ------------ ------------
Total assets 145,696 154,904 140,471
--------------------------- ------------ ------------ ------------
Capital expenditures 3,299 1,399 5,901
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Share data
--------------------------- ------------ ------------ ------------
Basic earnings (loss) per
share 0.00 (0.03) (0.46)
--------------------------- ------------ ------------ ------------
Weighted average number of
shares (in thousands)
Basic 44,021 43,947 43,951
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Diluted 45,033 43,947 43,951
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Other data
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Employees (period end) 283 267 273
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Corporate Calendar
February 23, 2005: Annual Press and Analysts Conference on
Financial Year 2004
April 20, 2005: Release of first quarter results
May 11, 2005: Annual shareholders' meeting
July 20, 2005: Release of second quarter results
October 19, 2005: Release of third quarter results