Cypress Semiconductor Corporation announced second quarter 2019 revenue of $532.2 million, down 1.3% sequentially, but up 4.8% sequentially after adjusting for the divestiture of the company's NAND business, which was completed on April 1, 2019. Additional highlights included:
- GAAP and Non-GAAP gross margins were 37.3% and 47.0%, respectively
- GAAP and Non-GAAP diluted EPS were $(0.03) and $0.25, respectively
“We delivered a solid second quarter with revenue, gross margin, and diluted EPS all within our guidance ranges,” said Hassane El-Khoury, Cypress' president and chief executive officer.
“Cypress' world-class connect and compute solutions continue to gain strong momentum, including in IoT where Cypress’ revenue was up 30% sequentially in Q2, driven by strength in Wi-Fi/Bluetooth combos as well as standalone Bluetooth. Cypress also continues to execute well in automotive where Cypress’ revenue grew in Q2, both annually and sequentially, as our per-vehicle content continues to outgrow vehicle unit production levels," added El-Khoury.
As announced on June 3, 2019, Infineon Technologies AG and Cypress have entered into an agreement and plan of merger providing for Infineon to acquire Cypress for $23.85 per share in cash, corresponding to an enterprise value of approximately $10 billion.
"The combination of our highly-complementary product portfolios opens up great potential in the high-growth areas of automotive and IoT. Due to the pending transaction, Cypress will not hold an earnings conference call and has suspended the practice of providing forward-looking guidance," concluded El-Khoury.