Microsemi's quarterly sales hit $468.7 million, up 7.6% yoy

Microsemi reported net sales for the first quarter of its fiscal year 2018, ended 31-Dec-2017, of $468.7 million, up 7.6 percent from the $435.5 million reported in the first quarter of 2017. GAAP gross margin for the first quarter of 2018 was 61.6 percent, inclusive of the effect of non-cash purchase accounting charges related to profit from acquired inventory of $5.2 million and $2.4 million in inventory charges related to the closure of a non-strategic operation. GAAP gross margin was 63.5 percent in the first quarter of 2017 and 64.0 percent in the fourth quarter of 2017. Non-GAAP gross margin for the first quarter of 2018 was 63.2 percent.

GAAP operating income and net income for the first quarter of 2018 were $59.5 million and $47.9 million, respectively, and included restructuring, facility closure and other related charges of $6.4 million and acquisition-related costs of $1.4 million. Non-GAAP operating income for the first quarter of 2018 was $150.8 million, up 13.6 percent from the $132.7 million reported in the first quarter of 2017.

"We kicked off the first quarter of fiscal 2018 with 8 percent year-over-year sales growth and 17 percent EPS growth," said James J. Peterson, Microsemi's chairman and CEO. "We are on a clear path to exceed our long-term 35 percent operating margin target as we leverage customer engagements, share gains and revenue growth into industry-leading profitability."