Zacks_Analysts' Blog : Skyworks Reiterates Outlook - Analyst Blog

Skyworks Solutions, Inc. (SWKS) recently reiterated its outlook for above market growth, excluding its recently announced acquisitions.  

In April 2011, Skyworks said that it expects to report revenues of approximately $345 million. On a non-GAAP basis, Skyworks expects to report earnings of 46 cents in the current quarter.

In the long-run, management expects to approach a $1.5 billion revenue run rate with $2.00 in annualized earnings per share in the September quarter. Skyworks expects growth to be driven by the company’s broad customer base, diversification into new markets and increasing share gains.

The outlook provided by management excludes the recently announced acquisitions.

Last month, Skyworks announced that it will acquire an analog semiconductor company Advanced Analogic Technologies Incorporated (AATI) for $6.13 per share.

Headquartered in Silicon Valley, Advanced Analogic provides power management semiconductors for mobile consumer electronic devices, such as wireless handsets, notebooks and tablet computers, smartphones, digital cameras and digital audio players.

Skyworks would pay $3.68 a share in cash and the balance in a ratio of 0.08725 shares of Skyworks’ common stock for each outstanding share of Advanced Analogic.

Skyworks also announced that it will acquire fabless semiconductor company SiGe Semiconductor for $210 million. In addition, the company agreed to pay $65 million on the achievement of certain milestones. The transaction is expected to close in June, 2011.

Management expects that Skyworks will enhance its wireless networking product portfolio on the back of SiGe’s innovative short range, silicon-based products. This acquisition will also expand the company’s addressable content opportunity for smart phones, tablets, gaming consoles, notebook PCs and home automation systems.