Semtech Reports Sales of $28.5 Million in Quarter

Semtech Corp. in Newbury Park reported net sales of $28.5 million for the third quarter of fiscal year 1999, an 8% increase over $26.5 million in the third quarter a year ago.

Net income was $3.4 million or 22 cents per diluted share, compared with $3.3 million or 22 cents a year earlier.

The third-quarter results represented a 12% sequential increase in net sales and a 39% sequential increase in operating income, excluding a $2.5-million restructuring charge, compared with the second quarter.

Company officials said the increase in sales and income over the second quarter was a result of improved market conditions, higher contribution from new products and increased manufacturing-capacity utilization.

Semtech’s new orders increased 35% in the third quarter over the second quarter, due largely to strength within the computer and communications markets, officials said.

Demand for power-management devices and voltage suppressors used in personal computers was robust, while new communications products gained increased acceptance throughout the quarter.

During the third quarter, the semiconductor company introduced eight new product families.