) recently posted a net income of $1.2 million or $0.11 per diluted
share in the fourth quarter of fiscal 2012 compared with a net
income $1.5 million or $0.12 per diluted share in the year-ago
quarter and a net income of $0.09 million or $0.01 per diluted
share in the previous quarter. The reported figure was in-line with
the Zacks Consensus Estimate.
Supertex reported net sales of $16.4 million in the fourth
quarter of fiscal 2012, up 17% from the previous quarter, but down
9% year over year.
The sequential growth was driven by a 29% surge in sales of
medical electronics products and the ramping of sales of printer/EL
family of products. The growth in sales of medical electronics
products were driven by sales of analog switches and high voltage
pulser circuits and chipsets for medical ultrasound equipment as
well as custom processing services for other medical devices.
Sales of printer/EL family of products increased 39%
sequentially, primarily driven by deman for OLED manufacturing
equipment. The orders for LED drivers used in backlighting high-end
monitors have increased.
Gross margin came in at 47%, up from 38% in the year-ago
quarter. However, operating expenses increased 11% sequentially,
primarily due to increased development costs to support the large
number of new product development along with higher sales incentive
costs, which in turn was due to increased sales.
During the fourth quarter, Supertex generated $3.0 million of
cash from operating activities and repurchased 69,000 shares for
$1.2 million. Supertex ended the fourth quarter with $19.8 million
of cash, down from $23.9 million at the end of the previous
quarter. The company had no debt at the end of fiscal 2012.
For fiscal 2012, Supertex generated sales of $65.5 million, down
21% from fiscal 2011. Net income plummeted 61% to $4.5 million.
Going forward, Supertex projects sales to be flat to up 6%
sequentially in the first quarter of fiscal 2013. After having
launched four new products in the fourth quarter and almost 27 in
fiscal 2012, the company expects to launch twelve more products in
the first quarter of fiscal 2013. Most of these products address
the medical ultrasound and LED lighting markets.
We maintain a Neutral recommendation on Supertex. However, we
have a Zacks #2 Rank on the stock which translates into a
short-term rating of Buy.
SUPERTEX INC (SUPX): Free Stock Analysis Report
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