Integrated Device Technology, Inc. Announces Unaudited Consolidated Financial Results for the Second Quarter and Six Months Ended October 1, 2017; Provides Earnings Guidance for the Third Quarter Ending December 2018 and Fourth Quarter Ending March 2018; Revises Revenue Guidance for the Full Year Ending March 2018
For the six months, revenues were $401,111,000 against $376,187,000 for the same period of last year. Operating income was $43,182,000 against $47,252,000 for the same period of last year. income taxes was $34,381,000 against $42,159,000 for the same period of last year. Net income was $35,394,000 or $0.26 per diluted share against $45,538,000 or $0.33 per diluted share for the same period of last year. Non-GAAP net income from continuing operations was $93,411,000 or $0.67 per share compared with $98,611,000 or $0.70 per diluted share for the same period one year ago.
For the third quarter of fiscal 2018, the company expects revenue at approximately $215 million plus or minus $5 million. The company's project non-GAAP gross margin to expand 100 basis points to approximately 62.4% plus or minus 1 percentage point as newer products carrying higher gross margins represent a greater portion of revenue mix. The company estimates non-GAAP operating margin will increase 180 basis points to approximately 28.8% at the midpoint of guidance range. The company's non-GAAP tax rate will remain at approximately 5%. The company expects fully diluted shares for EPS to be approximately 138.6 million. Based on the midpoint of guidance range, the company project non-GAAP EPS for the December quarter to be between $0.38 and $0.44 or $0.41 at the midpoint.
The company remains fully committed to exiting the March quarter at 30% operating income. Revenue growth trends are accelerating beyond prior target and providing fuel for expanding profit margins, cash flows and EPS. The company believes that it improves further in the following March quarter.
At Analyst Day in February of 2017, the company expects to deliver $830 million of revenue for the full fiscal year, up from $728 million last year and to deliver new product families that would position IDT for extended growth into next year and beyond. For revenue target of $830 million, it is now apparent that the company will exceed this revenue target, as their new product adoption is truly hitting on all cylinders and in all target market segments.