Analog Devices Revises Revenue Guidance for Fiscal First Quarter 2016

NORWOOD, Mass. — (BUSINESS WIRE) — January 14, 2016Analog Devices, Inc. (NASDAQ: ADI), today announced it expects revenue in the first quarter of fiscal 2016 to be in the range of $745 million to $765 million compared to the company’s previous forecast of $805 million to $855 million. The lowered revenue outlook is the result of weaker than forecasted customer demand in the company’s portable consumer business unit, which began in December, and is expected to continue into the second fiscal quarter. Demand trends across ADI’s core markets of industrial, automotive, and communication infrastructure are tracking within the range of prior expectations.

ADI is forecasting non-GAAP gross margin of approximately 62% in the first quarter compared to its original forecast due to an inventory reserve associated with the updated revenue outlook. The company expects its non-GAAP gross margin to return to its model range in the second fiscal quarter of 2016.

Non-GAAP operating expenses in the first quarter are expected to decline significantly to $264 million from the prior quarter’s $292 million.

Non-GAAP net interest expense in the first quarter is expected to be approximately $10 million, and $15 million per quarter thereafter, as a result of the company’s recent $1.25 billion debt offering.

Management will discuss the company’s first quarter 2016 financial results on its call with investors scheduled for February 17, 2016.

Revised Outlook for the First Quarter of Fiscal Year 2016
The following statements are based on current expectations, and as indicated, are presented on a GAAP and non-GAAP basis. These statements are forward-looking and actual results may differ materially, as a result of, among other things, the important factors discussed at the end of this release. These statements supersede all prior statements regarding the company’s business outlook set forth in prior ADI news releases, and ADI disclaims any obligation to update these forward-looking statements.

       
  GAAP Non-GAAP Adjustments Non-GAAP
Revenue $745 to $765 million - $745 to $765 million
Gross Margin approx. 62% $1.4 million (1) approx. 62%
Operating Expenses approx. $282 million $17.5 million (1) approx. $264 million
Interest & Other Expense approx. $13 million 3.0 million(2) approx. $10 million
Tax Rate approx. 10% $8.0 million (3) approx. 13%
Earnings per Share $0.47 to $0.51 $0.04 (4) $0.51 to $0.55
 

1 | 2  Next Page »



Review Article Be the first to review this article

Featured Video
Jobs
Mechanical Design Engineer 3 for KLA-Tencor at Milpitas, CA
System Designer/Engineer for Bluewater at Southfield, MI
Sr Mechanical Design Engineer for Medtronic at mounds view, MN
Senior Structural Engineer for Wiss,Janney, Estner Assoicates, Inc at houston, TX
Geospatial Systems Administrator for BAE Systems Intelligence & Security at arnold, MO
Geospatial Analyst - Senior for BAE Systems Intelligence & Security at Springfield, VA
Upcoming Events
Formlabs LA 3D Printing Roadshow at Munky King Lost Angeles CA - Feb 8 - 9, 2018
ESPRIT World 2018 at Indianapolis Marriott Downtown 350 West Maryland Street Indianapolis IN - Jun 11 - 15, 2018
HxGN LIVE 2018 at The Venetian Las Vegas NV - Jun 12 - 15, 2018
IMTS2018 International Manufacturing Tech Show at McCormick Place Chicago IL - Sep 10 - 15, 2018
Tebis



Internet Business Systems © 2018 Internet Business Systems, Inc.
25 North 14th Steet, Suite 710, San Jose, CA 95112
+1 (408) 882-6554 — Contact Us, or visit our other sites:
AECCafe - Architectural Design and Engineering EDACafe - Electronic Design Automation GISCafe - Geographical Information Services TechJobsCafe - Technical Jobs and Resumes ShareCG - Share Computer Graphic (CG) Animation, 3D Art and 3D Models
  Privacy PolicyAdvertise