Semiconductor manufacturer ANADIGICS, Inc. (ANAD) continued its dismal performance in first quarter 2013 as it registered a loss of $19.0 million or 26 cents per share compared to a loss of $15.8 million or 23 cents per share in the year-ago quarter. Excluding one-time items, adjusted net loss for the reported quarter came in at 20 cents per share vis-à-vis a loss of 21 cents per share in the year-earlier quarter. The adjusted loss per share for first quarter 2013 was narrower than the Zacks Consensus Estimate of a loss of 23 cents.
Total revenue for first quarter 2013 was $26.4 million, down 7.2% year over year. Cellular wireless segment contributed $16.3 million to the total revenue, while legacy WiFi and infrastructure accounted for $4.8 million and $5.3 million, respectively.
Sequential revenues declined 13.4%, driven by a seasonal fall of 31.6% in cellular wireless segment revenues. Infrastructure segment revenue decreased 5.7% on lower cable TV (:CATV) subscriber revenue. However, WiFi experienced strong market demand for more than a 300% sequential revenue growth of over $3.7 million.
During the reported quarter, ANADIGICS continued to improve its cost structure by stringent cost-cutting initiatives, while maintaining a sharp focus on new product developments. Workforce reduction resulted in a $1.9 million restructuring charge in the quarter.
In addition to a diligent execution of cost reductions, ANADIGICS improved its liquidity through secondary offering of 10 million shares for approximately $18.4 million. Subsequent to the quarter-end, the company realized an additional $1.3 million in proceeds as the underwriters exercised over-allotment options of 700,000 shares.
ANADIGICS ended the quarter with cash and equivalents of $35.1 million. During the quarter, ANADIGICS incurred $1.5 million in capital expenditures while capacity utilization was 65%.
Going forward, management did not provide any specific guidance for the coming quarter. ANADIGICS expects sequential growth in the coming quarter with strong bookings to date, driven by design wins of in cellular and WiFi products.
ANADIGICS continues to focus on three market drivers that it believes will expand its served available market. These drivers include the rapid adoption of 3G and 4G data connectivity in wireless mobile devices, expansion of wireless and CATV infrastructure to support increase data use, and proliferation of high performance WiFi connectivity in mobile devices.
ANADIGICS presently has a Zacks Rank #3 (Hold). Other players in the industry worth mentioning include Freescale Semiconductor, Ltd. (FSL), ARM Holdings plc (ARMH), and Spreadtrum Communications Inc. (SPRD), each carrying a Zacks Rank #1 (Strong Buy).
More From Zacks.com