Mellanox Raised Guidance 3Q09 Revenue: Between $32.0 to $32.5 Million

Mellanox Technologies, Ltd. raised its revenue, gross margin and operating expense projections for its third quarter ending Sept. 30, 2009.

Mellanox now projects record quarterly revenue in the range of $32.0 million to $32.5 million for the third quarter of fiscal 2009, compared with its previous third quarter revenue guidance of $28.5 million to $29.0 million. The updated third quarter revenue projection represents sequential growth of approximately 26 percent to 28 percent from the $25.3 million reported by the company in the second quarter of fiscal 2009, and year-over-year growth of approximately 11 percent above the $29.14 million reported in the third quarter of 2008.

The company now expects gross margins in the third quarter to be in the range of 73.5 percent to 74.5 percent, compared with the company’s previous guidance of 72 percent to 73 percent. Mellanox reported a gross margin percentage of 74.1 percent in the second quarter of fiscal 2009, and 79.1 percent in the third quarter of 2008.

On a GAAP basis, Mellanox now projects fiscal third quarter operating expenses to increase sequentially by 11 percent to 12 percent, compared with the company’s previous guidance of 8 percent to 9 percent.