With revenues hitting a record, Atmel plans to double spending to $1 billion Semiconductor Business News (04/19/00, 05:53:21 PM EDT) SAN JOSE -- Atmel Corp. here today joined the ranks of chip makers whose quarterly revenues have hit all-time highs, as it announced sales of $429.2 million in the first quarter, ended March 31. That was up 48% from a year ago, and up 10% sequentially.
Atmel also said it plans to double its capital spending this year to meet demand. After raising over $600 million in a February stock offering, George Perlegos, president and CEO, said the company now plans to spend $1 billion on capacity expansion.
Net income for the first quarter totaled $41.8 million, or 19 cents per share on a fully diluted basis. Basic EPS for the quarter was 20 cents. In the previous quarter, the company reported net income of $33.0 million, or 16 cents per share.
In last year's first quarter, Atmel's net was $16.7 million, or 9 cents per share before an exceptional charge for an accounting change. All results reflect the 2-for-1 stock split which took effect in December 1999.
Perlegos noted that sales were particularly strong in high density Flash and BiCMOS ASICs aimed at the wireless telecommunications market. "We are particularly pleased with the remarkable strength in order demand for our Smart Card ICs, which is driven by the proliferation of wireless, e-commerce and Internet security applications," he said. "Business conditions remain robust across the board, and the improving demand and firm pricing over a wide range of products gives us confidence in continuing to grow our revenues and margins."