SAN JOSE, Calif., Oct. 31, 2013 (GLOBE NEWSWIRE) -- DSP Group®, Inc. (Nasdaq:DSPG), a leading global provider of wireless chipset solutions for converged communications, announced today its results for the third quarter ended September 30, 2013.
Financial Results Highlights:
GAAP diluted EPS of $0.02 and non-GAAP diluted EPS of $0.08, both exceeding guidance•
Realized third consecutive quarter of positive GAAP net income•
Third quarter revenues of approximately $35.4 million above mid-point of guidance•
Gross margins of 39% at high end of guidance•
Non-GAAP net income increased to $1.8 million, reaching 5% of revenues•
Net cash and cash equivalents increased by $5.3 million to approximately $125 million
Commenting on the results, Ofer Elyakim, CEO of DSP Group, stated, "We are pleased with our financial performance in the third quarter. Despite softer market demand for cordless telephony products, we managed to surpass the mid-point of our revenue projection and exceeded our guidance in almost every financial metric. Driven by improving margins and a more streamlined cost structure, we achieved our third consecutive quarter of positive GAAP net income."
Mr. Elyakim added, "We remain firmly on track to meet our stated objective of generating positive operating cash flow for 2013, and continue to successfully execute on our business goals of building a solid foundation for growth and diversifying into new market verticals. We have achieved increasing recognition and acceptance for our new products and technologies as evidenced by successful progression of HDClear into advanced stages of evaluation across several market segments, design wins in VoIP, and field trials and initial revenue generation with ULE."
Products and Market Highlights:
Deutsche Telekom and DSP Group to trial ULE in Deutsche Telekom's Speedport home gateway targeting smart home services•DSP Group's DVF99 chipset selected by Swissvoice for its home automation over the top gateway•China's leading SIP phone vendor, Yealink, launched three new lines of IP phones based on DSP Group's VoIP ICs•DSP Group's chipsets power Australia iiNET's innovative Budii™ Home Gateway, Home Smartphone and Tablet•
A new U.S. CAT-iq 2.0 certification program opens up a new and exciting market opportunity for DSP Group in the US
Third Quarter Results:
Net income for the third quarter of 2013 was $398,000 on revenues of $35,381,000, as compared to net loss of $2,415,000 on revenues of $36,666,000 for the same period last year. Diluted earnings per share (EPS) for the third quarter of 2013 were $0.02 per share, as compared to a loss of $0.11 per share for the third quarter of 2012.