XILINX, INC. 
By SAN JOSE, Calif., April 23, 2014 /PRNewswire/ -- Xilinx, Inc. (Nasdaq: XLNX) today announced fiscal 2014 sales of $2.38 billion, up 10% from the prior fiscal year. Fiscal 2014 net income increased 29% to $630 million, or $2.19 per diluted share, versus fiscal 2013 net income of $488 million or $1.79 per diluted share.
Logo - http://photos.prnewswire.com/prnh/20020822/XLNXLOGO
Fourth quarter fiscal 2014 sales were $618 million, up 5% sequentially and up 16% from the fourth quarter of the prior fiscal year. Fourth quarter fiscal 2014 net income was $156 million, or $0.53 per diluted share, including a $10 million loss, or $0.03 per diluted share, associated with the recent redemption of convertible notes.
Additional fourth quarter comparisons are represented in the charts below:
GAAP Results
(In millions, except EPS)
Growth Rates
Q4 Q3 Q4
FY 2014 FY 2014 FY 2013 Q-T-Q Y-T-Y
------- ------- ------- ----- -----
Net
revenues $617.8 $586.8 $532.2 5% 16%
Operating
income $189.5 $202.7 $147.2 -7% 29%
Net
income $156.0 $175.9 $130.6 -11% 19%
Diluted
earnings
per
share $0.53 $0.61 $0.47 -13% 13%
"The tremendous success of our 28nm product portfolio has contributed to Xilinx PLD segment share gains for the third consecutive fiscal year," said Moshe Gavrielov, Xilinx President and Chief Executive Officer. "With March quarter sales exceeding $140 million, we have established an estimated 70% market segment share at 28nm for all of fiscal 2014, with leadership across all product families and broad adoption of our Vivado® Design Suite and UltraFast(TM) Design Methodology. Our proven formula for success is already bearing fruit at 20nm with the UltraScale(TM) family, which includes the PLD industry's only high-end product."
Net Revenues by Geography:
Percentages Growth Rates
Q4 Q3 Q4
FY 2014 FY 2014 FY 2013 Q-T-Q Y-T-Y
------- ------- ------- ----- -----
North
America 27% 29% 31% -2% 0%
Asia
Pacific 43% 40% 34% 12% 48%
Europe 21% 22% 26% 3% -6%
Japan 9% 9% 9% 2% 16%
Net Revenues by End Market:
Percentages Growth Rates
Q4 Q3 Q4
FY 2014 FY 2014 FY 2013 Q-T-Q Y-T-Y
------- ------- ------- ----- -----
Communications & Data Center 49% 44% 44% 17% 30%
Industrial, Aerospace &
Defense 34% 37% 37% -3% 7%
Broadcast, Consumer &
Automotive 15% 16% 17% -4% 2%
Other 2% 3% 2% -23% 2%
Net Revenues by Product:
Percentages Growth Rates
Q4 Q3 Q4
FY 2014 FY 2014 FY 2013 Q-T-Q Y-T-Y
------- ------- ------- ----- -----
New 42% 38% 27% 17% 85%
Mainstream 34% 33% 41% 8% -5%
Base 21% 26% 28% -16% -16%
Support 3% 3% 4% 10% 0%
Products are classified as follows:
New products: Kintex(TM) Ultrascale, Virtex®?7, Kinte?7, Artix(TM)-7, Zynq(TM)-7000, Virtex?6, Spartan(TM)?6 products
Mainstream products: Virtex?5, Spartan?3 and CoolRunner(TM)?II products
Base products: Virtex?4, Virtex?II, Virtex?E, Virtex, Spartan-II, Spartan, CoolRunner and XC9500 products
Support products: Configuration solutions, HardWire, Software & Support/Services
Key Statistics:
(Dollars in millions)
Q4 Q3 Q4
FY 2014 FY 2014 FY 2013
------- ------- -------
Annual Return on Equity (%)* 22 20 17
Operating Cash Flow $189 $216 $174
Depreciation Expense $14 $14 $14
Capital Expenditures $14 $11 $6
Combined Inventory Days 115 114 110
Revenue Turns (%) 54 52 58
*Return on equity calculation:
Annualized net income/average
stockholders' equity
Product and Financial Highlights - Fiscal 2014
-- During fiscal year 2014, sales from Xilinx's 28nm product portfolio,
which includes the 7 series FPGAs and the Zynq-7000 family, surpassed
$380 million with material contributions from all product families. 28nm
momentum has continued to grow, driven by a wide range of applications
that includes next generation LTE wireless base stations, OTN,
Datacenter, industrial networking, surveillance, electronic warfare and
automotive driver assist.
-- The Company continued to drive gross margin improvement, achieving a
record 68.8% gross margin in fiscal year 2014, up from 66.0% in the
prior fiscal year. This improvement reflects the Company's continued
discipline and focus on driving gross margin expansion projects across
our product portfolio.
-- Xilinx generated over $800 million in operating cash flow in fiscal
2014. Demonstrating a strong commitment to increase shareholder value,
Xilinx paid its shareholders a record $267M in dividends and repurchased
5.2 million shares for $242 million. Xilinx recently increased its
quarterly dividend by $0.04 per share to $0.29 per share. Additionally,
more favorable financial market conditions and a continued strong credit
rating enabled Xilinx to issue $1 billion of senior notes, using the
proceeds to redeem its 2007 convertible notes.
-- Xilinx, in close partnership with TSMC, shipped the industry's first
20nm device, Kintex Ultrascale, in November 2013 and we expect to ship
the first Virtex Ultrascale devices during the June quarter.
-- Xilinx announced the next generation Zynq UltraScale Multi-Processing
SoC (MPSoC) Architecture targeted for 16nm. The UltraScale MPSoC
architecture extends Xilinx's ASIC-class UltraScale FPGA and 3D IC
architectures to enable heterogeneous multi-processing SoCs with the
right engines for the right tasks. Xilinx will be leveraging TSMC's
FinFet + process, offering the highest performance FinFet transistors in
the industry.
Business Outlook - June Quarter Fiscal 2015
-- Sales are expected to be up 0% to 4% sequentially.
-- Gross margin is expected to be approximately 68%.
-- Operating expenses are expected to be approximately $220 million
including $2.5 million of amortization of acquisition-related
intangibles.
-- Other income and expenses are expected to be a net expense of
approximately $8 million.
-- Fully diluted share count is expected to be approximately 286 million.
-- June quarter tax rate is expected to be approximately 13% - 14%.
Conference Call
A conference call will be held today at 2:00 p.m. Pacific Time to discuss the March quarter financial results and management's outlook for the June quarter. The webcast and subsequent replay will be available in the investor relations section of the Company's web site at www.investor.xilinx.com. A telephonic replay of the call may be accessed later in the day by calling (855) 859-2056 and referencing confirmation code 8428806. The telephonic replay will be available for two weeks following the live call.
This release contains forward-looking statements and projections. Forward-looking statements and projections can often be identified by the use of forward-looking words such as "expect," "believe," "may," "will," "could," "anticipate," "estimate," "continue," "plan," "intend," "project" or other similar expressions. Statements that refer to or are based on projections, uncertain events or assumptions also identify forward-looking statements. Such forward looking statements include, but are not limited to, statements related to the semiconductor market, the growth and acceptance of our products, expected revenue growth, the demand and growth in the markets we serve, opportunity for expansion into new markets, and our expectations regarding our business outlook for the June quarter of fiscal 2015. Undue reliance should not be placed on such forward-looking statements and projections, which speak only as of the date they are made. We undertake no obligation to update such forward-looking statements. Actual events and results may differ materially from those in the forward-looking statements and are subject to risks and uncertainties including customer acceptance of our new products, current global economic conditions, the health of our customers and the end markets in which they participate, our ability to forecast end customer demand, a high dependence on turns business, more customer volume discounts than expected, greater product mix changes than anticipated, fluctuations in manufacturing yields, our ability to deliver product in a timely manner, our ability to successfully manage production at multiple foundries, variability in wafer pricing, costs and liabilities associated with current and future litigation, and other risk factors listed in our most recent Forms 10-Q and 10-K.
About Xilinx
Xilinx develops All Programmable technologies and devices, beyond hardware to software, digital to analog, and single to multiple die in 3D ICs. These industry leading devices are coupled with a next-generation design environment and IP to serve a broad range of customer needs, from programmable logic to programmable systems integration. For more information visit www.xilinx.com.
#1434F
Xilinx, the Xilinx logo, Artix, ISE, Kintex, Spartan, Virtex, Zynq, Vivado, and other designated brands included herein are trademarks of Xilinx in the United States and other countries. All other trademarks are the property of their respective owners.
XLNX-F
Investor Relations Contact:
Lori Owen
Xilinx, Inc.
(408) 879-6911
ir@xilinx.com
© Copyright 2014 Xilinx
XILINX, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
(In thousands, except per share amounts)
Three Months Ended Twelve Months Ended
------------------ -------------------
March 29, 2014 December 28, 2013 March 30, 2013 March 29, 2014 March 30, 2013
-------------- ----------------- -------------- -------------- --------------
Net revenues $617,823 $586,816 $532,168 $2,382,531 $2,168,652
Cost of revenues 199,945 180,792 180,589 743,253 737,206
------- ------- ------- ------- -------
Gross margin 417,878 406,024 351,579 1,639,278 1,431,446
------- ------- ------- --------- ---------
Operating expenses:
Research and development 127,812 128,092 111,133 492,447 475,522
Selling, general and
administrative 98,087 91,794 90,732 378,607 365,684
Amortization of acquisition-
related intangibles 2,462 2,589 2,487 9,887 9,508
Litigation and contingencies - (19,190) - 9,410 -
--- ------- --- ----- ---
Total operating expenses 228,361 203,285 204,352 890,351 850,714
------- ------- ------- ------- -------
Operating income 189,517 202,739 147,227 748,927 580,732
Loss on extinguishment of
convertible debentures 9,848 - - 9,848 -
Interest and other expense,
net 3,819 4,807 8,902 29,553 33,726
----- ----- ----- ------ ------
Income before income taxes 175,850 197,932 138,325 709,526 547,006
Provision for income taxes 19,823 22,055 7,705 79,138 59,470
------ ------ ----- ------ ------
Net income $156,027 $175,877 $130,620 $630,388 $487,536
======== ======== ======== ======== ========
Net income per common share:
Basic $0.58 $0.66 $0.50 $2.37 $1.86
===== ===== ===== ===== =====
Diluted $0.53 $0.61 $0.47 $2.19 $1.79
===== ===== ===== ===== =====
Cash dividends per common
share $0.25 $0.25 $0.22 $1.00 $0.88
===== ===== ===== ===== =====
Shares used in per share calculations:
Basic 268,134 267,780 263,035 266,431 261,652
======= ======= ======= ======= =======
Diluted 294,536 288,195 277,090 287,396 272,573
======= ======= ======= ======= =======
XILINX, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
March 29, 2014 March 30, 2013 *
-------------- ---------------
(unaudited)
ASSETS
Current assets:
Cash, cash equivalents and
short-term investments $2,457,321 $1,714,745
Accounts receivable, net 267,833 229,175
Inventories 233,999 201,250
Deferred tax assets and other
current assets 107,994 152,469
Total current assets 3,067,147 2,297,639
Net property, plant and
equipment 355,089 365,687
Long-term investments 1,190,775 1,651,033
Other assets 424,338 415,092
Total Assets $5,037,349 $4,729,451
========== ==========
LIABILITIES , TEMPORARY EQUITY AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable and accrued
liabilities $369,260 $333,379
Deferred income on shipments
to distributors 55,099 53,358
Deferred tax liabilities - 51
Current portion of long-term
debt 565,001 -
Total current liabilities 989,360 386,788
Long-term debt 993,870 922,666
Deferred tax liabilities 253,433 415,442
Other long-term liabilities 13,005 41,259
Temporary equity 34,999 -
Stockholders' equity 2,752,682 2,963,296
Total Liabilities, Temporary
Equity and Stockholders'
Equity $5,037,349 $4,729,451
========== ==========
* Derived from audited financial statements
XILINX, INC.
SUPPLEMENTAL FINANCIAL INFORMATION
(Unaudited)
(In thousands)
Three Months Ended Twelve Months Ended
------------------ -------------------
March 29, 2014 December 28, 2013 March 30, 2013 March 29, 2014 March 30, 2013
-------------- ----------------- -------------- -------------- --------------
SELECTED CASH FLOW INFORMATION:
Depreciation $13,860 $13,595 $13,893 $55,464 $56,327
Amortization 4,980 5,058 4,355 19,808 17,233
Stock-based compensation 25,961 24,339 21,246 94,314 77,862
Net cash provided by
operating activities 189,375 216,390 173,653 804,917 656,537
Purchases of property,
plant and equipment 14,148 10,975 6,212 44,865 30,265
Payment of dividends to
stockholders 67,042 67,096 57,822 267,343 230,469
Repurchases of common stock 73,955 97,140 - 241,076 197,689
Proceeds from issuance of
common stock to employees
and excess tax benefit 111,301 12,729 59,671 268,912 117,872
STOCK-BASED COMPENSATION INCLUDED IN:
Cost of revenues $1,974 $1,966 $1,638 $7,602 $6,356
Research and development 12,723 11,912 10,256 46,197 37,937
Selling, general and
administrative 11,264 10,461 9,352 40,515 33,569
SOURCE Xilinx, Inc.
