Freescale Ascends in Q1: Fool by Numbers

On April 19, Freescale Semiconductor (NYSE: FSL  ) released Q1 2006 earnings for the period ended March 31.

  • Per-share earnings of $0.50, which trounced Street expectations, included a $0.04 charge for stock-based compensation and a $0.02 gain from an accounting change related to expensing options.
  • Wireless and mobile proved to be the fastest-growing segment for the chip maker. Sales of wireless and mobile processors rose 18.5% year over year, while operating income from the segment improved by $28 million from last year's Q1.
  • Management expects Q2 revenue to come in at $1.5 billion to $1.6 billion. Analysts project $1.51 billion, according to Capital IQ.

(Figures in millions, except per-share data)

Income Statement Highlights

Avg. Est.

Q1 2006

Q1 2005

% Change

Sales

$1,490

$1,526

$1,442

5.8

Net Profit

--

$212

$85

149.4

EPS

$0.39

$0.50

$0.20

150



Get back to basics with a look at the income statement.

Margin Checkup

Q1 2006

Q1 2005

% Change

Gross Margin

45.28

39.88

5.4

Op. Margin

13.56

7.56

6

Net Margin

13.89

5.89

8



Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets

Q1 2006

Q1 2005

% Change

Cash+ ST Invest.

$1,379

$2,349

(41.3)

Inventory

$682

$742

(8.1)

Accounts Rec.

$545

$654

(16.7)



Liabilities

Q1 2006

Q1 2005

% Change

Long-Term Debt

$1,230

$1,248

(1.4)

Accounts Pay.

$572

$491

16.5



Learn the ways of the balance sheet.

Cash Flow Highlights

No cash flow statement provided. (Whatever.)

Find out why Fools always follow the money.

Related companies:

  • Advanced Micro Devices (NYSE: AMD  )
  • Hewlett-Packard (NYSE: HPQ  )
  • IBM (NYSE: IBM  )
  • Intel (Nasdaq: INTC  )
  • Microsoft (Nasdaq: MSFT  )
  • Motorola (NYSE: MOT  )

Related Foolishness:

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.

Formfactor is a Motley Fool Hidden Gems recommendation. Microsoft and Intel are Motley Fool Inside Value selections. Get an all-access passto Inside Value to find out which other stocks are helping lead analyst Philip Durell beat the market by nearly 4%. You'll also receive instructive lessons on valuation and company analysis. Give Inside Value a try; it's free for 30 days.

Fool contributor Tim Beyers didn't own shares in any of the companies mentioned in this story at the time of publication. You can find out what is in his portfolio by checking Tim's Fool profile. The Motley Fool has an ironclad disclosure policy.


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