Skyworks(US:SWKS)2024-04-30 22:07Financial Performance - Net revenue for the three months ended March 29, 2024, was $1,046.0 million, a decrease of 9.3% compared to $1,153.1 million for the same period in 2023[9] - Gross profit for the six months ended March 29, 2024, was $926.8 million, down 20.5% from $1,165.0 million in the prior year[9] - Operating income for the three months ended March 29, 2024, was $189.2 million, a decline of 30.8% from $273.3 million in the same quarter of 2023[9] - Net income for the six months ended March 29, 2024, was $414.6 million, representing a decrease of 23.5% compared to $542.2 million for the same period in 2023[9] - Net revenue for the six months ended March 29, 2024, was $2.25 billion, reflecting a decrease compared to the same period in 2023[63] - Net income for the six months ended March 29, 2024, was reported at $183.3 million, a decrease from $231.3 million for the same period in the previous year, representing a decline of about 20.8%[19] Cash and Liquidity - Cash and cash equivalents increased to $1,205.4 million as of March 29, 2024, from $718.8 million at the end of September 2023[14] - The company reported a net cash provided by operating activities of $1,075.2 million for the six months ended March 29, 2024, compared to $1,185.1 million in the prior year[17] - Cash provided by operating activities was $1,075.2 million for the six months ended March 29, 2024, compared to $1,185.1 million in the prior year[81] - Cash, cash equivalents, and marketable securities totaled $1,221.3 million as of March 29, 2024, an increase of $482.8 million from September 29, 2023[85] - The company expects that its cash, cash equivalents, and marketable securities will be sufficient to fund both short-term and long-term liquidity requirements, including research and development and potential acquisitions[88] Equity and Assets - Total stockholders' equity increased to $6,359.2 million as of March 29, 2024, from $6,082.7 million at the end of September 2023[14] - As of March 29, 2024, the total stockholders' equity increased to $6,359.2 million from $6,227.2 million at December 29, 2023, reflecting a growth of approximately 2.1%[19] - Total assets decreased to $8,309.7 million as of March 29, 2024, down from $8,426.7 million as of September 29, 2023[14] - The balance of retained earnings as of March 29, 2024, was $6,072.6 million, compared to $5,998.4 million at December 29, 2023, indicating an increase of approximately 1.2%[19] Expenses - Research and development expenses for the three months ended March 29, 2024, were $154.4 million, slightly up from $148.2 million in the same period last year[9] - Selling, general, and administrative expenses decreased to $76.8 million for the three months ended March 29, 2024, down 2.8% from $79.0 million in the prior year[73] - Interest expense decreased to $7.1 million for the three months ended March 29, 2024, a decline of 62.4% compared to $18.9 million in the same period last year[78] - Provision for income taxes was $9.6 million for the three months ended March 29, 2024, down 64.4% from $27.0 million in the prior year[79] - The company reported share-based compensation expenses of $40.3 million for the six months ended March 29, 2024, compared to $52.6 million in the previous period, reflecting a reduction of about 23.8%[19] Dividends - The company paid dividends totaling $218.0 million during the six months ended March 29, 2024, compared to $198.0 million in the same period of 2023[17] - The company declared dividends totaling $109.1 million for the six months ended March 29, 2024, slightly up from $108.9 million in the previous period[19] - A cash dividend of $0.68 per share was declared on April 30, 2024, payable on June 11, 2024[55] Market and Strategic Focus - Skyworks Solutions, Inc. continues to focus on expanding its presence in various markets, including aerospace, automotive, and connected home applications, leveraging its analog and mixed-signal semiconductor technologies[22] - The company is currently evaluating the impact of recently issued accounting standards on its consolidated financial statements, which may affect future disclosures[29][30] Inventory and Impairment - Total inventory as of March 29, 2024, was $835.5 million, a decrease of 25.4% from $1,119.7 million as of September 29, 2023[38] - The company recorded an impairment charge of $16.1 million related to a previously capitalized in-process research and development project during the six months ended March 29, 2024[35] Stock Repurchase - The company has a stock repurchase program authorized for up to $2.0 billion, with $2.0 billion remaining available as of March 29, 2024[52][53] - During the three months ended March 29, 2024, the company repurchased 5,986 shares at an average price of $105.57 per share[105] Risk Management - The company does not believe that investment or interest rate risks currently pose material exposures to its business or results of operations[95] - Substantially all sales are conducted in U.S. dollars, which mitigates the impact of foreign exchange rate fluctuations on the company's results[96] - The company had no outstanding foreign currency forward or options contracts as of March 29, 2024[98] - The company's cash equivalent investments have short-term maturity periods, which help reduce market or interest rate risk[93] - There have been no changes to the company's internal control over financial reporting that materially affect its operations[100]