UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 8-K

 

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report (date of earliest event reported): April 25, 2012

 

 

XILINX, INC.

(Exact name of registrant as specified in its charter)

 

 

 

Delaware   000-18548   77-0188631

(State or other jurisdiction of

incorporation)

 

(Commission File

Number)

 

(IRS Employer

Identification No.)

2100 Logic Drive, San Jose, California   95124
(Address of principal executive offices)   (Zip Code)

Registrant’s telephone number, including area code: (408) 559-7778

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 


Item 2.02 Results of Operations and Financial Condition

On April 25, 2012, Xilinx, Inc. issued a press release announcing results for the fiscal quarter ended March 31, 2012. A copy of this press release is furnished as Exhibit 99.1 to this report.

Item 9.01 Financial Statements and Exhibits

 

(d) Exhibits

 

Exhibit No.

  

Description

99.1    Press release of Xilinx, Inc. dated April 25, 2012


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

    XILINX, INC.
Date: April 25, 2012       By:  

/s/ Jon A. Olson

           Jon A. Olson
      Senior Vice President, Finance and Chief Financial Officer


EXHIBIT INDEX

 

Exhibit No.

  

Description

99.1    Press release of Xilinx, Inc. dated April 25, 2012

Exhibit 99.1

Investor Relations Contact:

Lori Owen

Xilinx, Inc.

(408) 879-6911

ir@xilinx.com

XILINX ANNOUNCES FISCAL 2012 RESULTS;

Q4 SALES INCREASE 9% SEQUENTIALLY

SAN JOSE, CA, April 25, 2012— Xilinx, Inc. (Nasdaq: XLNX) today announced fourth quarter fiscal 2012 sales of $559.0 million, up 9% sequentially and down 5% from the fourth quarter of the prior fiscal year. Fourth quarter fiscal 2012 net income was $134.1 million, or $0.49 per diluted share.

Fiscal 2012 sales were $2.24 billion, down 5% from the prior fiscal year. Fiscal 2012 net income decreased 16% to $541.8 million, or $1.99 per diluted share, versus fiscal 2011 net income of $641.9 million or $2.39 per diluted share.

Additional fourth quarter comparisons are represented in the charts below:

GAAP Results

(In millions, except EPS)

 

 

                          Growth Rates  
     Q4
FY 2012
     Q3
FY 2012
     Q4
FY 2011
     Q-T-Q     Y-T-Y  

Net revenues

   $ 559.0       $ 511.1       $ 587.9         9     -5

Operating income

   $ 162.9       $ 137.1       $ 181.2         19     -10

Net income

   $ 134.1       $ 127.0       $ 160.1         6     -16

Diluted earnings per share

   $ 0.49       $ 0.47       $ 0.59         4     -17

“Fiscal 2012 was highlighted by robust growth from our 40-nm product families and an aggressive introduction of our 28-nm product families. Design win momentum for these product families continues to be strong, giving me confidence that Xilinx will continue to gain PLD share in the new fiscal year,” said Moshe Gavrielov, Xilinx President and Chief Executive Officer. “Additionally, the Company’s cost reduction efforts and operating efficiencies contributed to consecutive quarterly gross margin improvement during the year and a record gross margin of 66.4% in the recently ended March quarter.”


Net Revenues by Geography:

 

     Percentages     Growth Rates  
     Q4
FY 2012
    Q3
FY 2012
    Q4
FY 2011
    Q-T-Q     Y-T-Y  

North America

     32     32     27     10     13

Asia Pacific

     31     35     35     -3     -14

Europe

     27     23     30     27     -14

Japan

     10     10     8     8     12

Net Revenues by End Market:

 

     Percentages     Growth Rates  
     Q4
FY 2012
    Q3
FY 2012
    Q4
FY 2011
    Q-T-Q     Y-T-Y  

Communications

     41     43     47     5     -16

Industrial & Other

     37     34     32     18     10

Consumer & Automotive

     15     15     14     9     1

Data Processing

     7     8     7     -7     -12

Net Revenues by Product:

 

     Percentages     Growth Rates  
     Q4
FY 2012
    Q3
FY 2012
    Q4
FY 2011
    Q-T-Q     Y-T-Y  

New

     51     51     46     11     7

Mainstream

     21     24     26     -4     -24

Base

     24     21     23     21     -1

Support

     4     4     5     0     -29

Products are classified as follows:

New Products: Virtex®-7, Kintex™-7, Zynq™-7000, Virtex-6, Virtex-5, Spartan®-6, Spartan-3A and Spartan-3E products

Mainstream Products: Virtex-4, Spartan-3, Spartan-II and CoolRunner™-II products

Base Products: Virtex, Virtex-E, Virtex-II, Spartan, XC4000, CoolRunner and XC9500 products

Support Products: Configuration products, HardWire, Software & Support/Services

Key Statistics:

(Dollars in millions)

 

     Q4
FY 2012
     Q3
FY 2012
     Q4
FY 2011
 

Annual Return on Equity (%)*

     21         22         28   

Operating Cash Flow

   $ 208       $ 181       $ 245   

Depreciation Expense

   $ 15       $ 14       $ 13   

Capital Expenditures

   $ 20       $ 19       $ 17   

Combined Inventory Days

     110         142         133   

Revenue Turns (%)

     57         56         53   

 

* Return on equity calculation: Annualized net income/average stockholders’ equity

 

2


Product and Financial Highlights – Fiscal 2012

 

   

Xilinx recently unveiled its Vivado™ Design Suite, a new IP and system-centric design environment built from the ground up to accelerate design productivity for the next decade of what Xilinx calls ‘All-Programmable’ Devices. These devices go beyond programmable logic and IO to enable programmable systems integration leveraging 3D stacked silicon interconnect technology, ARM based embedded systems, Analog Mixed Signal, advanced high speed serial transceivers, and a growing percentage of IP cores. The Vivado Design Suite is estimated to provide customers with up to a 4X productivity advantage over last generation development environments, and is key to enabling customers to take full advantage of Xilinx’s market leading 28-nm offerings.

 

   

Xilinx continued its aggressive rollout of its 28-nm product portfolio. Xilinx was the industry’s first to release an FPGA at 28-nm with its optimized Kintex-7 product family, the first to introduce a programmable 3D IC product with over 6.8 billion transistors and the first to introduce a device integrating a full ARM-based embedded processing system along with programmable Analog Mixed Signal data converters, effectively expanding the Xilinx portfolio to cover all types of programmable technologies. This now includes hardware and software, digital and analog, single and multiple die programmability.

 

   

Xilinx established a new benchmark for single chip serial bandwidth with the recent release of the Virtex-7 X690T device with over 2 Tbps aggregate serial bandwidth to address the most demanding next generation wired communications equipment.

 

   

Xilinx generated record operating cash flow of $827 million in fiscal 2012 up from $724 million in the prior fiscal year. During the fiscal year, Xilinx continued to demonstrate a strong commitment to returning shareholder value by increasing its quarterly dividend $0.03 per share to $0.22 per share. Dividends paid to shareholders were a record $200 million and seven million shares were repurchased for $220 million during the fiscal year.

Business Outlook – June Quarter Fiscal 2013

 

   

Sales are expected to be up 1% to up 5% sequentially.

 

   

Gross margin is expected to be approximately 65% - 66%.

 

   

Operating expenses are expected to be approximately $220 million, including $2 million of amortization of acquisition-related intangibles.

 

   

Other income and expense is expected to be an expense of approximately $8 million.

 

   

Fully diluted share count is expected to be approximately 277 million.

 

   

June quarter tax rate is expected to be approximately 16%.

 

3


Conference Call

A conference call will be held today at 2:00 p.m. Pacific Time to discuss the fourth quarter financial results and management’s outlook for the June quarter. The webcast and subsequent replay will be available in the investor relations section of the Company’s web site at www.investor.xilinx.com. A telephonic replay of the call may be accessed later in the day by calling (855) 859-2056 and referencing confirmation code 70310997. The telephonic replay will be available for two weeks following the live call.

This release contains forward-looking statements and projections. Forward-looking statements and projections can often be identified by the use of forward-looking words such as “expect,” “believe,” “may,” “will,” “could,” “anticipate,” “estimate,” “continue,” “plan,” “intend,” “project” or other similar expressions. Statements that refer to or are based on projections, uncertain events or assumptions also identify forward-looking statements. Such forward looking statements include, but are not limited to, statements related to the semiconductor market, the growth and acceptance of our programmable platforms, expected revenue growth, the demand and growth in the markets we serve, opportunity for expansion into new markets, and our expectations regarding our business outlook for the June quarter for fiscal 2013. Undue reliance should not be placed on such forward-looking statements and projections, which speak only as of the date they are made. We undertake no obligation to update such forward-looking statements. Actual events and results may differ materially from those in the forward-looking statements and are subject to risks and uncertainties including customer acceptance of our new products, current global economic conditions, the health of our customers and the end markets in which they participate, our ability to forecast end customer demand, a high dependence on turns business, more customer volume discounts than expected, greater product mix changes than anticipated, fluctuations in manufacturing yields, our ability to deliver product in a timely manner, our ability to successfully manage production at multiple foundries, variability in wafer pricing, and other risk factors listed in our most recent Forms 10-Q and 10-K.

About Xilinx

About Xilinx

Xilinx develops All Programmable technologies and devices, beyond hardware to software, digital to analog, and single to multiple die in 3D ICs. These industry leading devices are coupled with a next-generation design environment and IP to serve a broad range of customer needs, from programmable logic to programmable systems integration. For more information visit www.xilinx.com.

#1237F

Xilinx, the Xilinx logo, Artix, ISE, Kintex, Spartan, Virtex, Zynq, Vivado, and other designated brands included herein are trademarks of Xilinx in the United States and other countries. All other trademarks are the property of their respective owners.

 

4


XILINX, INC.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

(In thousands, except per share amounts)

 

     Three Months Ended     Twelve Months Ended  
     Mar. 31
2012
    Dec. 31,
2011
    Apr. 2,
2011
    Mar. 31
2012
    Apr. 2,
2011
 

Net revenues

   $ 558,973      $ 511,091      $ 587,852      $ 2,240,736      $ 2,369,445   

Cost of revenues

     187,577        174,805        203,703        786,078        819,558   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross margin

     371,396        336,286        384,149        1,454,658        1,549,887   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operating expenses:

          

Research and development

     115,240        108,245        102,967        435,276        392,482   

Selling, general and administrative

     91,261        88,934        92,863        365,272        350,626   

Amortization of acquisition-related intangibles

     1,981        1,982        1,034        7,568        1,034   

Restructuring charges

     —          —          6,070        3,369        10,346   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total operating expenses

     208,482        199,161        202,934        811,485        754,488   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operating income

     162,914        137,125        181,215        643,173        795,399   

Impairment loss on investments

     —          —          (5,904     —          (5,904

Interest and other expense, net

     (7,126     (7,187     (6,499     (30,722     (18,415
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

     155,788        129,938        168,812        612,451        771,080   

Provision for income taxes

     21,641        2,924        8,760        70,630        129,205   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income

   $ 134,147      $ 127,014      $ 160,052      $ 541,821      $ 641,875   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income per common share:

          

Basic

   $ 0.51      $ 0.49      $ 0.61      $ 2.05      $ 2.43   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Diluted

   $ 0.49      $ 0.47      $ 0.59      $ 1.99      $ 2.39   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Cash dividends declared per common share

   $ 0.19      $ 0.19      $ 0.16      $ 0.76      $ 0.64   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Shares used in per share calculations:

          

Basic

     263,261        261,257        263,603        263,783        264,094   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Diluted

     276,166        267,884        272,161        272,157        268,061   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 


XILINX, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands)

 

     Mar. 31
2012
     Apr. 2,
2011 *
 
     (Unaudited)         

ASSETS

     

Current assets:

     

Cash, cash equivalents and short-term investments

   $ 1,917,627       $ 1,926,413   

Accounts receivable, net

     214,965         286,464   

Inventories

     204,866         264,745   

Deferred tax assets and other current assets

     112,851         145,164   
  

 

 

    

 

 

 

Total current assets

     2,450,309         2,622,786   

Net property, plant and equipment

     394,982         380,570   

Long-term investments

     1,209,228         766,452   

Other assets

     409,513         371,042   
  

 

 

    

 

 

 

Total Assets

   $ 4,464,032       $ 4,140,850   
  

 

 

    

 

 

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

     

Current liabilities:

     

Accounts payable and accrued liabilities

   $ 275,774       $ 268,377   

Deferred income on shipments to distributors

     67,002         99,763   
  

 

 

    

 

 

 

Total current liabilities

     342,776         368,140   

Convertible debentures

     906,569         890,980   

Deferred tax liabilities

     466,613         403,990   

Other long-term liabilities

     28,647         63,123   

Stockholders’ equity

     2,719,427         2,414,617   
  

 

 

    

 

 

 

Total Liabilities and Stockholders’ Equity

   $ 4,464,032       $ 4,140,850   
  

 

 

    

 

 

 

 

* Derived from audited financial statements


XILINX, INC.

SUPPLEMENTAL FINANCIAL INFORMATION

(Unaudited)

(In thousands)

 

     Three Months Ended      Twelve Months Ended  
     Mar. 31
2012
     Dec. 31,
2011
     Apr. 2,
2011
     Mar. 31
2012
     Apr. 2,
2011
 

SELECTED CASH FLOW INFORMATION:

              

Depreciation

   $ 14,702       $ 13,862       $ 12,923       $ 55,658       $ 50,361   

Amortization

     4,327         4,327         2,972         16,690         8,531   

Stock-based compensation

     18,909         17,843         14,963         67,418         60,258   

Net cash provided by operating activities

     208,491         180,970         244,967         826,739         724,152   

Purchases of property, plant and equipment

     19,670         18,984         16,655         70,071         64,979   

Payment of dividends to stockholders

     49,991         49,566         42,121         200,361         169,072   

Repurchases of common stock

     —           42,447         —           219,638         468,943   

Proceeds from issuance of common stock to employees and excess tax benefit

     48,784         12,017         105,135         120,620         177,759   

STOCK-BASED COMPENSATION INCLUDED IN:

              

Cost of revenues

   $ 1,686       $ 1,350       $ 1,154       $ 5,630       $ 4,825   

Research and development

     9,065         8,655         7,115         32,310         28,780   

Selling, general and administrative

     8,158         7,838         6,694         29,478         26,653