Cirrus Logic Raises Revenue Guidance as Mixed-Signal Growth Accelerates
The semiconductor company projected second-quarter revenue of up to $570 million following a first-quarter increase in sales.
Cirrus Logic (CRUS) reported first-quarter revenue of $459.7 million. The result marked a continued climb from $448.5 million in the previous quarter and $407.3 million in the same period a year ago.
The semiconductor maker saw a divergence in its primary business lines. Revenue for the High-Performance Mixed-Signal segment grew to $210.7 million, up from $191.3 million in the prior quarter and $167.2 million in the first quarter of the previous year.
Audio segment revenue declined to $249.0 million, down from $257.2 million in the fourth quarter of fiscal 2023. Despite the sequential dip, the segment's revenue remained higher than the $240.0 million reported in the first quarter of the prior year.
Non-GAAP diluted earnings per share were $1.84. This figure was lower than the $1.95 reported in the previous quarter, though it rose from $1.51 a share in the first quarter of the prior year. Non-GAAP gross margin remained steady at 52.7%, compared to 53.0% in the prior quarter and 52.6% a year ago.
Operating costs and cash flow shifted during the period. Non-GAAP operating expenses increased to $135.4 million, up from $126.1 million in the prior quarter and $119.5 million a year ago. Non-GAAP free cash flow margin dropped to 11%, compared to 33% in the fourth quarter of fiscal 2023 and 49% in the third quarter of that year.
Cirrus Logic expects second-quarter revenue to range between $510 million and $570 million. This is an increase over the first-quarter guidance range of $430 million to $490 million. The company projects GAAP gross margins between 52% and 54%, up from the first-quarter guidance of 51% to 53%.
Non-GAAP operating expenses for the second quarter are expected to be between $140 million and $146 million, compared to the first-quarter guidance of $132 million to $138 million.
The company recently taped out a new high-performance analog front-end component designed for metrology applications.