SAN FRANCISCO—Shares of programmable logic vendor Xilinx Inc. traded lower in after hours trading Wednesday (April 27) after the company reported quarterly results that beat consensus analysts’ expectations but forecast roughly flat sales for the current quarter.

Xilinx (San Jose, Calif.) said it expects sales for the current quarter, which closes in June, to be roughly flat with those it reported for the fourth quarter of its fiscal 2016, $571 million. The target fell short of Wall Street’s expectations, which called for Xilinx to post fiscal first quarter sales of about $579 million.

The $571 million in sales for the fiscal fourth quarter, which closed in March, came in up 1% compared with both the previous and year-ago quarters. The revenue figure beat consensus analysts’ expectations of about $566 million.

Xilinx reported a fourth quarter net income of $145 million, or 54 cents per diluted share, up 11% compared with both the previous quarter and the year-ago quarter.

Moshe Gavrielov, Xilinx

“I am very pleased with both the financial and operating results of the fourth quarter,” said Moshe Gavrielov, Xilinx president and CEO, in a conference call with analysts following the quarterly report. The firm’s sales for the quarter rebounded to their highest level in well over a year, he added.

Xilinx said it derived 49% of its revenue in the fiscal fourth quarter from sales of new products, including the company’s 20nm UltraScale+,Ultrascale, 7-series and 45nm Spartan-6 products. Revenue from new products was up 3% sequentially and 21% year-over-year, Xilinx said.

Gavrielov said Xilinx has picked up four points of programmable logic device market share gains over the past five years based on its technology and product leadership. The company reported record sales of 28nm products in the fiscal fourth quarter and had nearly $100 million in 20nm revenue in fiscal 2016. 

“Our execution on the 28, 20 and 16nm nodes has been exceptional,” Gavrielov said. He added that Xilinx expects to ship “well over $30 million” worth of 20nm products in the current quarter.

For fiscal 2016, which also closed in March, Xilinx reported sales of $2.21 billion, down 7% compared with fiscal 2015. The company reported a net income for the year of $551 million, or $2.05 per diluted share, down 15% compared with fiscal 2015.

Xilinx shares traded at just above $45 in after hours trading Wednesday, down more than 2% from the stock’s closing price prior to the quarterly report.

Xilinx said its board declared a quarterly cash dividend of 33 cents per outstanding share of common stock. It marked the 11th consecutive year the company has raised its dividend, Xilinx said.

 ----Form EE Times