Two weeks after publishing updated quarterly results, Zoran Corp. (Nasdaq: ZRAN) reported its final fourth quarter and full-year 2010 results, beating its updated revenue guidance.
Zoran posted $74.2 million revenue for the fourth quarter, including revenue from Microtune, down from $93.3 million for the corresponding quarter of 2009. Non-GAAP net loss was $15.2 million ($0.31 per share) for the corresponding quarter compared with a non-GAAP net profit of $514,000 for the corresponding quarter.
For the year as a whole, revenue fell to $357.3 million from $380.1 million in 2009. GAAP-based net loss rose to $47.6 million ($0.95 per share) in 2010 from $33 million in 2010, while non-GAAP loss rose to $21.5 million ($0.43 per share) from $12.7 million.
Zoran's revenue guidance for the first quarter of 2011 is above the analysts' consensus, but so too is the company's guidance of its net loss. It expects $81-85 million revenue, 9.2-12.3% more than for the fourth quarter, but 6-10.5% less than for the first quarter of 2010. It expects a non-GAAP loss per share of $0.35-0.39 ($17.3-19.3 million), compared with a loss per share of $0.03 for the corresponding quarter.
Zoran is optimistic about its business. President and CEO Dr. Levy Gerzberg said, "In DTV, we are excited about the opportunities we see in this market," and believes that the company can expand its position as a major player in the DTV market. He adds that the digital camera business grew 44% in 2010, and that there is momentum in the printer imaging market. "We believe that we have the right strategy to return to growth and profits in 2011," he said.
Zoran had $261.1 million in cash at the end of 2010.
Following the financials, Oppenheimer & Co. downgraded Zoran from "Outperform" to "Market perform"
The share price fell 1.5% on Friday to $9.45, giving a market cap of $474 million.
Published by Globes [online], Israel business news - www.globes-online.com - on February 6, 2011
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