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maxlinear posts q1 adjusted loss, revenue tops estimates

EditorBrando Bricchi
Published 25/04/2024, 06:34 am
© Reuters.

CARLSBAD, Calif. - MaxLinear, Inc. (NASDAQ:MXL), a provider of integrated radio frequency and mixed-signal circuits, reported a narrower-than-expected adjusted loss for the first quarter, while revenue exceeded analysts' forecasts. The company posted an adjusted loss of $0.21 per share, just $0.01 better than the analyst estimate of a $0.22 loss. Revenue for the quarter was $95.27 million, surpassing the consensus estimate of $94.21 million.

Compared to the same quarter last year, MaxLinear experienced a significant decrease in revenue, down 62% YoY. The company's GAAP gross margin also contracted to 51.7% from 56.5% in the year-ago quarter. Non-GAAP gross margin remained relatively stable at 60.6%, compared to 60.3% last year.

Kishore Seendripu, Ph.D., Chairman and CEO of MaxLinear, expressed optimism about the company's future, stating, "We believe our revenue has bottomed and is now poised for sequential growth throughout 2024." He highlighted the company's strong fiscal discipline and the potential for positive cash flow and financial leverage as growth accelerates.

For the second quarter of 2024, MaxLinear forecasts net revenue to be in the range of $90 million to $110 million. The midpoint of this guidance range, $100 million, is above the current analyst consensus. The company also expects non-GAAP gross margins to be between 58.5% and 61.5%, with non-GAAP operating expenses ranging from $72 million to $78 million.

The company's stock movement was not provided, which would have indicated the market's response to the earnings release and guidance. However, the company's focus on growth and fiscal discipline, as well as the CEO's positive outlook, may influence investor sentiment.

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MaxLinear's financial results reflect the challenges faced in the semiconductor industry, marked by a decrease in net revenue and operating income. However, the company's strategic focus on high-value market trends and its product development efforts are expected to drive future growth, as suggested by the CEO's commentary.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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