Silicon Laboratories Inc. has recently released its 10-Q report, providing an in-depth look at the company's financial condition and performance. The company, founded in 1996 and headquartered in Austin, Texas, is a fabless semiconductor company that offers analog-intensive mixed-signal solutions. Its products, such as wireless microcontrollers and sensor products, are utilized in a wide array of electronic products across various applications for the industrial Internet of Things, smart cities, commercial IoT, smart home, connected health, consumer electronics, and more.
In its 10-Q report, Silicon Laboratories discussed the impact of macroeconomic conditions, including inflationary pressure, high interest rates, and geopolitical tension. The company also highlighted the uncertainty regarding overall macroeconomic conditions, increased geopolitical tensions, risk of recessions, and the effects of potential trade policies.
The report also delved into the company's financial results. Revenues decreased by $37.4 million in the recent quarter compared to the third quarter of fiscal 2023, primarily due to decreased revenues from both its Home & Life and Industrial & Commercial products. The gross margin decreased to 54.3% in the recent quarter compared to 58.4% in the third quarter of fiscal 2023.
Silicon Laboratories ended the third quarter of fiscal 2024 with $369.7 million in cash, cash equivalents, and short-term investments. The net cash used in operating activities was $24.0 million during the current year nine-month period. The company's accounts receivable were $48.9 million at September 28, 2024, representing 26 days sales outstanding, while inventory was $139.5 million at the same date, representing 165 days of inventory.
The report also highlighted that during the nine months ended September 28, 2024, the company had no customer that represented more than 10% of its revenues. Furthermore, it was noted that 93% of Silicon Laboratories' revenues were derived from customers outside of the United States. The company believes that a majority of its revenues will continue to be derived from customers outside of the United States.
The 10-Q report provided a detailed breakdown of the company's financial results, including revenues, cost of revenues, research and development expenses, selling, general and administrative expenses, interest income and other, net, interest expense, provision for income taxes, and equity-method loss. It also presented the company's financial data as a percentage of revenues for the periods indicated, offering a comprehensive view of its financial performance.
As a result of these announcements, the company's shares have moved -1.4% on the market, and are now trading at a price of $104.74. If you want to know more, read the company's complete 10-Q report here.
