QLogic: Fiscal 4Q09 Financial Results

QLogic Corp. announced its financial results for the fourth quarter and fiscal year ended March 29, 2009.

Fourth Quarter Highlights

• Net revenue: $130.5 million.
• Net income: $19.2 million GAAP, $24.5 million non-GAAP.
• Net income per diluted share: $0.16 GAAP, $0.20 non-GAAP.
• Cash generated from operations: $58.0 million.
• Cash and investment securities: $378.3 million as of March 29, 2009.

Fiscal Year Highlights

• Net revenue: a record $633.9 million.
• Net income: $108.8 million GAAP, $154.2 million non-GAAP.
• Net income per diluted share: $0.85 GAAP, $1.20 non-GAAP.
• Cash generated from operations: $221.3 million.
• Stock buyback: $205.5 million.

Net revenue for the fourth quarter of fiscal 2009 was $130.5 million compared to $159.7 million in the same quarter last year. Revenue from Host Products, which are comprised primarily of Fibre Channel and iSCSI host bus adapters and InfiniBand host channel adapters, was $88.4 million during the fourth quarter of fiscal 2009 compared to $110.3 million in the same quarter last year. Revenue from Network Products, which are comprised primarily of Fibre Channel and InfiniBand switches, was $25.1 million during the fourth quarter of fiscal 2009 compared to $27.5 million in the same quarter last year. Revenue from Silicon Products, which are comprised primarily of protocol chips, was $13.7 million during the fourth quarter of fiscal 2009 compared to $13.9 million in the same quarter last year.

Net income on a GAAP basis for the fourth quarter of fiscal 2009 was $19.2 million, or $0.16 per diluted share, compared to $22.8 million or $0.17 per diluted share for the fourth quarter of fiscal 2008. Net income on a non-GAAP basis for the fourth quarter of fiscal 2009 was $24.5 million, or $0.20 per diluted share, compared to $37.7 million or $0.28 per diluted share for the fourth quarter of fiscal 2008.

Net revenue for fiscal 2009 was a record $633.9 million and increased 6% from $597.9 million in fiscal 2008. Net income on a GAAP basis for fiscal 2009 was $108.8 million, or $0.85 per diluted share, and increased from $96.2 million or $0.67 per diluted share for fiscal 2008. Non-GAAP net income for fiscal 2009 was $154.2 million, or $1.20 per diluted share, and increased from $141.3 million or $0.99 per diluted share for fiscal 2008.

“Despite a very tough macroeconomic environment in the second half of the year, QLogic was able to deliver record revenues for fiscal year 2009,” said H.K. Desai, chief executive officer, QLogic. “As we enter a challenging fiscal 2010, we believe that we have set the appropriate goals and strategies to drive long-term growth in revenues and profitability.”

QLogic uses certain non-GAAP financial measures to supplement financial statements based on GAAP. A summary of these non-GAAP financial measures and a reconciliation of each non-GAAP financial measure to the most directly comparable GAAP financial measure, as well as a description of the reasons that management believes that these non-GAAP financial measures provide useful information to investors and the additional purposes for which management uses these non-GAAP financial measures is presented in the accompanying financial schedules.