Silicon Motion Results Top Estimates

(RTTNews) - Silicon Motion Technology Corp (SIMO), a provider of NAND flash controllers for solid state storage devices, on Monday reported first-quarter net earnings of $15.5 million or $0.44 per American depositary share compared with $3.8 million or $0.11 per ADS last year.

Excluding items, adjusted earnings for the quarter were $0.48 per ADS compared with $0.19 per ADS a year ago.

Revenues for the quarter were higher at $80.6 million compared with $52.8 million in the prior year.

Analysts polled by Thomson Reuters estimated earnings of $0.44 per share on revenues of $79.7 million for the quarter. Analysts' estimates typically exclude special items.

"We are off to a solid start in 2015. Our first quarter revenue benefited from strong client SATA 3 SSD controller sales momentum and stable eMMC controller sales," said CEO Wallace Kou.

The company said its gross margin for the quarter improved to 52 percent from 48.5 percent last year.

For the second quarter, Silicon Motion expects revenues to grow 5 to 10 percent sequentially.

For the full year 2015, the company now expects revenues to grow 17 to 25 percent from the prior year.

"The fundamentals of our business have never been stronger and we are excited about starting the next chapter of our growth. We believe that we are gaining share in the client SSD controller market and rapidly winning sockets and new designs with a broad range of OEMs," said CEO Kou.