Xilinx announces fourth consecutive quarter of record sales

SAN JOSE, USA: Xilinx Inc. announced second quarter fiscal 2011 sales of $619.7 million, up 4 percent sequentially and up 49 percent from the second quarter of the prior fiscal year. Second quarter fiscal 2011 net income was $170.9 million, or $0.65 per diluted share.

The Xilinx Board of Directors announced a quarterly cash dividend of $0.16 per outstanding share of common stock, payable on December 1, 2010 to all stockholders of record at the close of business on November 10, 2010.

The September quarter marked the fourth consecutive quarter of record sales for Xilinx. Operating margin of 36 percent was also a new milestone for Xilinx, up from 35 percent in the previous quarter; and up from 20 percent in the same quarter of the prior year.

"New product sales were led by particularly strong growth from the Virtex-6 and Spartan-6 FPGA families," said Moshe Gavrielov, Xilinx President and Chief Executive Officer. "Combined sales from these families more than doubled sequentially in the September quarter driven by strong new customer adoption in wide ranging applications such as 3D digital video displays, high performance computing and wireless infrastructure."

Highlights – Q2 fiscal 2011
* Sales from the Virtex-5 FPGA family reached another milestone in the September quarter, surpassing $1 billion in total sales. This product family continues to experience solid design win traction in myriad applications such as wireless LTE infrastructure, LED backlit, avionics imaging and mobile backhaul.

* Xilinx augmented its leadership in Aerospace and Defense (A&D) solutions by launching the Virtex-5QV FPGA, the first high-density, rad-hard reconfigurable FPGA for space applications. Additionally, Xilinx received NSA approval of its Virtex-5Q FPGA solution for high-grade cryptographic processing, underscoring a 20-year track record of meeting the rigorous demands of the A&D industry.

Business outlook – December quarter fiscal 2011
* Sales are expected to be flat to down 4 percent sequentially.
* Gross margin is expected to be approximately 65 percent plus or minus one percentage point.
* Operating expenses are expected to be approximately $190 million.
* Other income and expense is expected to be an expense of approximately $9 million.
* Fully diluted share count is expected to be approximately 262 million.
* December quarter tax rate is expected to be approximately 22 percent.