ZHUHAI, China — Actions Semiconductor Co., Ltd. (Nasdaq: ACTS), one of China's leading fabless semiconductor companies that provides comprehensive mixed-signal system-on-a-chip (SoC) and multimedia digital signal processing (DSP) solutions for portable consumer electronics, today reported its financial results for the second quarter ended June 30, 2011.
All financial results are reported on a U.S. GAAP basis.
Revenue for the second quarter of 2011 was $10.5 million, as compared to revenue of $9.4 million for the first quarter of 2011, and $9.7 million for the second quarter of 2010.
Net income attributable to Actions Semiconductor's shareholders for the second quarter of 2011 was $0.5 million or $0.007 per ADS. This compares to net income attributable to Actions Semiconductor's shareholders of $5,000 or $0.00007 per ADS, for the first quarter of 2011, and a net loss attributable to Actions Semiconductor's shareholders of $0.4 million or $0.006 per ADS, for the second quarter of 2010.
Actions Semiconductor reported gross margin of 37.9% for the second quarter of 2011, compared to gross margin of 39.1% for the first quarter of 2011, and 39.6% for the second quarter of 2010. The Company ended the second quarter of 2011 with $30.7 million in cash and cash equivalents. Restricted cash, trading securities, and marketable securities, current and non-current, were $186.6 million at the end of the second quarter.
Since the share repurchase program commenced in 2007, the Company has invested approximately $39.9 million in repurchasing its shares. As of June 30, 2011, approximately 16.9 million American Depositary Shares (ADSs) were repurchased.
“Our sales were in line with expectations for the second quarter,” stated Mr. Niccolo Chen, CEO of Actions Semiconductor. “Demand in our fast growing, automotive/boom box segment increased in what is typically a seasonally slower quarter. We continued to enjoy leading market share in key business segments such as small color display MP3, QVGA MP4, and D1 PMP with gaming functions. In the high end market segments, our Series 27 and 28 high definition products secured more than 10 design wins in the second quarter, and we saw continued interest from brand name customers in China. Our newly launched Series 70 provides a superior performance to cost ratio for Android based smart handheld applications. The Android based MID is in pilot production, and has already teamed up with one of China's brand name customers.
“As we head into the second half of 2011, we remain encouraged by the traction and momentum we have gained with our new products and believe we are positioned for growth,” concluded Mr. Chen.