GREENSBORO, N.C.-RF Micro Devices Inc., which provides proprietary radio frequency integrated circuits for wireless applications, increased its guidance for its fiscal 2006 first quarter ended June 30. RF Micro Devices said it had stronger than expected order activity for its power amplifiers, transceiver chipsets and Bluetooth products.
The company anticipates June quarterly revenue will be about $159.3 million, which includes a cash charge of $5 million incurred during the last week of the June quarter. Without the charge, the company’s June quarterly revenue is expected to be about $164.3 million.
The charge is related to the Company’s Polaris Radio Module at a top-tier customer for one handset model and does not impact shipments of Polaris 2 EDGE chipsets, which continue to ramp as expected, RF Micro Devices said. To date, the manufacturer has shipped more than 7 million Polaris chipsets.
On its April 26 quarterly conference call, RF Micro Devices forecasted June 2005 quarterly revenue in the mid-$150 million range. The company expects its gross profit margin will improve sequentially in the June quarter, even with the charge.
RF Micro Devices will announce its June 2005 quarterly results in more detail and provide September 2005 quarterly guidance July 26.
