Net revenue for the first quarter of fiscal 2016 grew 66 percent over the comparable quarter last year to $470.0 million. Net income for the first quarter of fiscal 2016 was $23.8 million, or $0.62 per diluted share.
Non-GAAP net income for the first quarter of fiscal 2016 grew 39 percent over the prior year period to $56.9 million, or $1.49 per diluted share. (See attached table for a reconciliation of GAAP to non-GAAP financial measures.)
“We are pleased to report record fiscal first quarter revenue and non-GAAP net income as healthy contributions from our fingerprint authentication and display driver products helped offset softness from our PC products,” stated Rick Bergman, President and CEO. “Synaptics is successfully executing across its expanding product roadmap, most recently with the inclusion of force sensing into our ClearPad touch offerings. We are experiencing increasing momentum for our fingerprint authentication and TDDI solutions, which we expect to be significant growth drivers in the second half of the fiscal year.”
First Quarter 2016 Business Metrics
•Revenue mix from mobile and PC products was approximately 88 percent and 12 percent respectively. Fingerprint authentication products have been classified according to type of device.
•Revenue from mobile products of $412.1 million was up 106 percent year-over-year. Mobile products revenue includes all touchscreen, display driver, and applicable fingerprint authentication products.
•Revenue from PC products totaled $57.9 million, a decrease of 30 percent year-over-year, and includes applicable fingerprint authentication products.
Wajid Ali, CFO, added, "Considering our backlog of $214 million entering the December quarter, subsequent bookings, customer forecasts, product sell-in and sell-through timing patterns, as well as expected product mix, we anticipate revenue in the December quarter to be in the range of $460 to $500 million, with the revenue mix from mobile and PC products roughly similar to the preceding quarter. By prudently managing our operating expenses we expect to drive incremental earnings results in the December quarter relative to expected top-line performance. "
Cash at September 30, 2015 was $275 million. In the first quarter of fiscal 2016, cash flow from operations was $12.3 million, and the company used $125 million to repurchase approximately 1.7 million shares of its common stock, or 5 percent of the total shares outstanding. In October, the company increased its revolving credit facility commitment by $100 million for an aggregate of $250 million; $150 million remains available under the credit facility for various purposes, including its stock repurchase program. The company also announced that its board of directors has increased and extended the authorization for stock repurchases by another $200 million, for a total available authorization of $273 million available through October 2017.