Applied Micro Hits Bottom: Fool by Numbers
On July 25, Applied Micro Circuits (Nasdaq: AMCC) released earnings for the first quarter ended June 30.
- Revenue dropped 28%, reflecting ongoing woes in the semiconductor industry that have wreaked havoc even on the big boys like Intel (Nasdaq: INTC) and AMD (NYSE: AMD).
- CEO Kambiz Hooshmand boldly called the bottom, however: "The first-quarter revenues represent what we believe is the bottom of this correction cycle."
- Our Motley Fool CAPS community rates Applied Micro's stock a below-average two stars.
(Figures in thousands, except per-share data.)
Income Statement Highlights
|
Q1 2008
|
Q1 2007
|
Change
|
|
Sales
|
$50,135
|
$69,679
|
(28.0%)
|
|
Net Profit
|
($16,420)
|
($817)
|
N/A
|
|
EPS
|
($0.06)
|
$0.00
|
N/A
|
|
Diluted Shares
|
281,656
|
291,178
|
(3.3%)
|
Get back to basics with the income statement.
Margin Checkup
|
Q1 2008
|
Q1 2007
|
Change*
|
|
Gross Margin
|
47.2%
|
54.8%
|
(7.6)
|
|
Operating Margin
|
(38.9%)
|
(5.8%)
|
(33.1)
|
|
Net Margin
|
(32.8%)
|
(1.2%)
|
(31.6)
|
*Expressed in percentage points
Margins are the earnings engine.
Balance Sheet Highlights
|
Assets
|
Q1 2008
|
Q1 2007
|
Change
|
|
Cash + ST Invest.
|
$255,873
|
$336,110
|
(23.9%)
|
|
Accounts Rec.
|
$21,710
|
$31,103
|
(30.2%)
|
|
Inventory
|
$34,834
|
$26,333
|
32.3%
|
|
Liabilities
|
Q1 2008
|
Q1 2007
|
Change
|
|
Accounts Payable
|
$18,110
|
$28,729
|
(37.0%)
|
|
Long-Term Debt
|
$0.0
|
$0.0
|
N/A
|
The balance sheet reflects the company's health.
Cash Flow Highlights
|
Q1 2008
|
Q1 2007
|
Change
|
|
Cash From Ops.
|
($9,028)
|
$6,320
|
N/A
|
|
Capital Expenditures
|
$1,097
|
$1,736
|
(36.8%)
|
|
Free Cash Flow
|
($10,125)
|
$4,584
|
N/A
|
Free cash flow is a Fool's best friend.
Related Foolishness:
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Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean. This data has been provided by Netscribes. To provide feedback on this article, please click on the "feedback" button below.
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