CARLSBAD, Calif. — (BUSINESS WIRE) — May 1, 2019 — MaxLinear, Inc. (NYSE: MXL), a leading provider of RF, analog and mixed-signal integrated circuits for the connected home, and industrial and multi-market applications, today announced financial results for the first quarter ended March 31, 2019.

First Quarter Financial Highlights

GAAP basis:

• Net revenue was $84.6 million, down 3% sequentially, and down 24% year-on-year.
• GAAP gross margin was 53.3%, compared to 52.4% in the prior quarter, and 56.5% in the year-ago quarter.
• GAAP operating expenses were $52.9 million in the first quarter 2019, or 63% of net revenue, compared to $56.6 million in the prior quarter, or 65% of net revenue, and $58.2 million in the year-ago quarter, or 53% of net revenue.
• GAAP loss from operations was 9% of revenue, compared to loss from operations of 12% in the prior quarter, and income from operations of 4% in the year-ago quarter.
• Net cash flow provided by operating activities was $16.0 million, compared to cash flow provided by operations of $24.2 million in the prior quarter and cash flow provided by operating activities of $12.0 million in the year-ago quarter.
• GAAP income tax benefit was $6.5 million, compared to an income tax benefit of $14.0 million in the prior quarter, and income tax benefit of $1.9 million in the year-ago quarter.
• GAAP net loss was $4.9 million, compared to net income of $0.3 million in the prior quarter, and net income of $1.8 million in the year-ago quarter.
• GAAP diluted loss per share was $0.07, compared to diluted earnings per share of $0.00 in the prior quarter, and diluted earnings per share of $0.03 in the year-ago quarter.

Non-GAAP basis:

• Non-GAAP gross margin was 63.5%. This compares to 62.7% in the prior quarter, and 64.9% in the year-ago quarter.
• Non-GAAP operating expenses were $35.7 million, or 42% of revenue, compared to $36.7 million or 42% of revenue in the prior quarter, and $39.3 million or 35% of revenue in the year-ago quarter.
• Non-GAAP income from operations was 21% of revenue, compared to 21% in the prior quarter, and 29% in the year-ago quarter.
• Non-GAAP effective tax rate was 7% of non-GAAP pre-tax income, compared to 7% in the prior quarter, and 7% in the year-ago quarter.
• Non-GAAP net income was $13.5 million, compared to $14.2 million in the prior quarter, and $26.2 million in the year-ago quarter.
• Non-GAAP diluted earnings per share was $0.19, compared to diluted earnings per share of $0.20 in the prior quarter, and diluted earnings per share of $0.37 in the year-ago quarter.

Recent Business Highlights

• Announced next-generation MxL1500 and MxL 1600 products, the industry’s first single-chip Quad RF transceiver solutions with 2G to 5G support for Radio Access Networks (RAN).
• Announced showcase of latest Wireless Access RF solutions aimed at enabling next generation 5G networks at the GSMA Mobile World Congress exhibition in Barcelona, Spain.
• Announced with SWR Technology a new system solution to enable delivery of 1Gbps symmetrical data rate and up to 35W wireless power through triple-silver-coated low-emissivity (low-e) glass windows up to 35mm thick using MaxLinear’s MxL210x AirPHY transceiver.
• Announced show case of optical interoperability of Telluride PAM4 DSP using 400Gbps QSFP-DD modules from early access customers at the Optical Fiber Communication Conference.
• Telluride PAM4 DSP SoC demonstrated by Molex in new transceiver modules for data center interconnects.
• Announced that Delta has selected Telluride PAM4 DSP to develop 400G optical module for hyperscale data centers.
• Announced show case of latest power management products, including MXL7213 dual 13A or single 26A power module, a complete switch mode DC/DC power supply which includes a wide 4.5V to 18V input range and enhanced efficiency and thermal performance, at Applied Power Electronics Conference in Anaheim.
• Introduced XR78021, its first Smart Power Stage (SPS) product with current and temperature monitoring that supports up to 20A output in a compact 4mm x 5mm QFN package.