Mentor Graphics Corporation announced financial results for the company’s fiscal first quarter ended April 30, 2014. The company reported revenues of $252.2 million, non-GAAP earnings per share of $0.11, and a GAAP loss per share of $0.02.
“First quarter results were better than our guidance, driven largely by strong revenue growth in scalable verification, particularly emulation,” said Walden C. Rhines, chairman and CEO of Mentor Graphics. “During the quarter Mentor introduced a revolutionary new Enterprise Verification Platform - one of the most significant verification product announcements in Mentor’s history. We also acquired Berkeley Design Automation, a recognized leader in analog, mixed-signal and RF circuit verification. This high-impact acquisition, along with the increase in our quarterly dividend and continued share repurchases, demonstrates Mentor’s balanced approach to capital deployment.”
The Mentor® Enterprise Verification Platform combines Questa® advanced verification solutions, Veloce® OS3 global emulation resourcing technology, and the Visualizer™ debug environment into a globally accessible high-performance data center resource. The new platform eliminates barriers to hardware acceleration and combines the functionality and observability of simulation-based verification with the speed of emulation.
During the quarter the company also launched the first phase of a new systems design enterprise platform, starting with innovative Xpedition™ printed circuit board (PCB) layout technology. Mentor also released Valor® “new product introduction” software which seamlessly links PCB design and manufacturing operations to deliver the industry’s first integrated, automated flow for the design, fabrication and assembly of PCBs. The company also announced that LEONI, a leading supplier of cables and cable systems to the automotive sector and other industries, has expanded its use of Mentor’s Capital® software throughout its worldwide facilities. In other news, Mentor’s IC solutions, including Calibre® and Olympus-SoC™ software as well as the Pyxis™ custom IC design platform and the ELDO® spice simulator, have achieved certification for TSMC 16 nm FinFET family production.
“Mentor’s business performed well in the first quarter,” said Gregory K. Hinckley, president of Mentor Graphics. “Strict attention to cost control enabled the company to exceed our non-GAAP operating income target by over $7 million and beat non-GAAP EPS guidance by $0.05 on a $7 million hardware-driven revenue upside. The company is executing well and we expect strength in transportation applications and core EDA demand as the year progresses.”
Outlook
For the second quarter of fiscal 2015, the company expects revenues of about $250 million, non-GAAP earnings per share of about $0.15 and GAAP earnings per share of approximately $0.07. For the full year fiscal 2015, the company expects revenues of about $1.237 billion, non-GAAP earnings per share of about $1.75, and GAAP earnings per share of approximately $1.46.
To see the full release please go to: http://www.mentor.com/company/news/upload/Q1FY2015-earnings_pdf
