Cree breaks LED revenue record once again

Aug. 12, 2005
Cree has posted record annual sales of $389 million, marking a 27% increase over the fiscal 2004 figure.

Cree capped another spectacularly successful year with record sales in the fourth fiscal quarter of $98.9 million.

The figure, which represents 9% year-on-year growth, brought total sales for fiscal 2005 to $389 million – a huge increase over the 2004 figure of $307 million.

With improving profit margins, the LED and RF device maker also saw its net income shoot up 57% to $91.1 million in the year ending June 26.

“On top of finishing the year with our best quarter ever, recent sales data suggests that Cree’s revenue grew faster than our top competitors in both Japan and Taiwan during the year,” claimed a delighted Chuck Swoboda, the Cree CEO.

The upward trend is set to continue, with 85% of Cree’s sales target for the current quarter already booked and the company expecting to deliver a revenue of $101 million-$104 million.

Despite those positive predictions, investors appeared to be disappointed with the outlook and Cree's share price had sunk by almost 10% when trading re-opened after its earnings report.

Meanwhile, Cynthia Merrell, the company’s chief financial officer, is to quit the company after nearly nine years at Cree. Merrell will stay with the company to assist the transition to a new CFO.

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