Company provides long-term target operating model

(PRNewswire) —   Intersil Corporation (NASDAQ: ISIL), a leading provider of innovative power management and precision analog solutions, today announced financial results for the fourth quarter and the year ended January 2, 2015.  

Company Highlights

• 2014 revenue stabilized and was $562.6 million, down 2% compared to the prior year.
• Gross margin improved again in the fourth quarter, and for the year was up 310 basis points on a GAAP basis and 300 basis points on a non-GAAP basis compared to 2013.
• Operating income increased significantly from the prior year, resulting in a non-GAAP operating margin of 21.3% for 2014 compared to 16% in 2013.
• Diluted GAAP earnings per share increased from $0.02 to $0.41 in 2014 and non-GAAP earnings per share increased from $0.59 to $0.73.

Financial Results
Revenue for the fourth quarter was down as expected to $131.1 million, a nine percent sequential decline. Intersil's consumer, computing, and industrial and infrastructure revenue declined sequentially in the fourth quarter due in part to weaker than seasonal demand.  For the full year, industrial and infrastructure grew by nearly six percent as a result of strong growth in power management and automotive products. Consumer revenue was down meaningfully for the year primarily due to weakness in gaming and the deliberate de-emphasis of low margin products. Revenue from the computing end market was down one percent for the year. The breakdown by end market for the quarter was as follows:

Table 1. Intersil End Market Mix