Inphi Corporation reported unaudited consolidated earnings results for the second quarter and six months ended June 30, 2016. For the quarter, the company reported revenue of $60,524,000 compared to $49,513,000 a year ago. Income from operations was $3,999,000 compared to loss from operations of $1,318,000 a year ago. Income from continuing operations before income taxes was $1,246,000 compared to loss from continuing operations before income taxes of $1,413,000 a year ago. Net income was $531,000 or $0.01 per basic and diluted share. Non-GAAP net income from continuing operations was $13,814,000 or $0.32 per diluted share compared to $10,607,000 or $0.26 per diluted share a year ago. The company continued to have strong cash flow from operations of $11.6 million. Capital expenditures were $800,000.

For the six months period, the company reported revenue of $114,615,000 compared to $92,459,000 a year ago. Income from operations was $6,240,000 compared to loss from operations of $10,056,000 a year ago. Income from continuing operations before income taxes was $824,000 compared to loss from continuing operations before income taxes of $9,983,000 a year ago. Net income was $751,000 or $0.02 per basic and diluted share compared to net loss of $9,708,000 or $0.26 per basic and diluted share a year ago. Non-GAAP net income from continuing operations was $25,105,000 or $0.57 per diluted share compared to $17,387,000 or $0.43 per diluted share a year ago.

The company provided earnings guidance for the third quarter ending September 30, 2016. For the quarter, the company expects estimated GAAP net income from continuing operations of $4,925,000 to $3,835,000, estimated non-GAAP net income from continuing operations of $17,400,000 to $16,210,000, estimated non-GAAP diluted earnings per share of $0.39 to $0.37 and revenue from continuing operations of $68,800,000 to $66,800,000. GAAP based gross margin is expected to be 66.9% - 68.1%. Non-GAAP operating margin in the range of 26.7% to 27.9%.

The company expects non-GAAP effective tax rate to be 10% for 2016.