Analog CEO: Q2 Was One of Analog Devices' Best Ever

Analog Devices Inc. (ADI) posted sales growth on a sequential and year-to-year basis for the three months ending May 1, as the company once again handily beat consensus analyst expectations for revenue. ADI reported sales of $668 million for the second quarter of fiscal 2010, up 11 percent from the previous quarter and 41 percent from the same period of 2009. The company posted a net income on a generally accepted accounting principles basis of $167.1 million, up from $120.5 million in the previous quarter and up from $51.8 million in the year-ago quarter. "The second quarter was one of the best quarters in ADI's history," said Jerald Fishman, ADI president and CEO, in a statement. During the quarter, ADI's gross margin rose to 65 percent of revenue and operating margin increased to 32 percent of revenue, Fishman said. Analysts had expected, on average, for ADI's second quarter sales to be about $644 million according to Yahoo Finance. For the third quarter, Fishman said ADI expects revenue of between $695 million and $715 million, considerably higher than consensus analysts' predictions of about $658 million. The company is planning for gross margins of 65 to 66 percent, Fishman said.