SAN JOSE, Calif., Sept. 13, 2010 (GLOBE NEWSWIRE) -- Power Integrations (Nasdaq:POWI) today revised its revenue outlook for the quarter ending September 30, 2010. The company now expects third-quarter revenues to be between $72 million and $76 million, down from its prior outlook of $78 million to $82 million. The company reiterated its outlook for gross margin and operating expenses; the company continues to expect its third-quarter gross margin to be between 51 percent and 52 percent, with operating expenses between $23.5 million and $24.5 million including approximately $2.7 million of stock-based compensation expenses.
Commented Balu Balakrishnan, president and CEO of Power Integrations: "Demand has moderated of late following five consecutive quarters of very strong revenue growth. Although end-market trends are difficult to discern at this stage of the quarter, the softness appears to be mainly in consumer and computer applications, and seems to be a reflection of weaker end-market demand and/or pockets of inventory in the supply chain. Notwithstanding these apparent macroeconomic and cyclical factors, design activity remains healthy, and our penetration of the power-supply market continues to increase as customers adopt our highly integrated, energy-efficient power-conversion products."
Mr. Balakrishnan will be speaking at the Deutsche Bank Technology Conference at 4:05 p.m. Pacific time on September 14, 2010. A live webcast of the presentation will be available on the "investor info" page of the company's website, http://investors.powerint.com.
About Power Integrations
Power Integrations is the leading supplier of high-voltage analog integrated circuits used in energy-efficient power conversion. The company's innovative technology enables compact, energy-efficient power supplies in a wide range of electronic products, in AC-DC, DC-DC and LED lighting applications. Since its introduction in 1998, Power Integrations' EcoSmart® energy-efficiency technology has saved an estimated $4.3 billion of standby energy waste and prevented millions of tons of CO2 emissions. The company's Green Room (www.powerint.com/greenroom) provides a wealth of information about "energy vampires" and the issue of standby energy waste, along with a comprehensive guide to energy-efficiency standards around the world. Reflecting the environmental benefits of EcoSmart technology, Power Integrations is included in clean-technology stock indices sponsored by the Cleantech Group (Amex:CTIUS) and Clean Edge (Nasdaq:CELS). For more information, please visit http://www.powerint.com/">www.powerint.com.
Note Regarding Forward-Looking Statements
The statements in this press release relating to the company's projected third-quarter 2010 financial performance are forward-looking statements, reflecting management's current forecast. These forward-looking statements are based on current information that is, by its nature, subject to rapid and even abrupt changes. Due to risks and uncertainties associated with the company's business, actual results could differ materially from those projected or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to: changes in global macroeconomic conditions that may impact the level of demand for the company's products; the ability of the company to obtain sufficient quantities of wafers in a timely manner from its suppliers; potential changes and shifts in customer demand away from end products that utilize the company's integrated circuits to end products that do not incorporate the company's products; the effects of competition; the risks inherent in the development and delivery of complex technologies; and fluctuations in currency exchange rates. In addition, new product introductions and design wins are subject to the risks and uncertainties that typically accompany development and delivery of complex technologies to the marketplace, including product development delays and defects and market acceptance of the new products. These and other risk factors are more fully explained under the caption "Risk Factors" in the company's most recent quarterly report on Form 10-Q, filed with the Securities and Exchange Commission on August 6, 2010. The company is under no obligation (and expressly disclaims any obligation) to update or alter its forward-looking statements in this press release, or any forward-looking statements in any future press release or other announcements, whether as a result of new information, future events or otherwise.
Power Integrations, EcoSmart and the Power Integrations logo are trademarks or registered trademarks of Power Integrations, Inc.