Ceva Inc. (Nasdaq:CEVA); LSE:CVA) published good results for the fourth quarter of 2013. Revenue totaled $14 million, 8% more than for the corresponding quarter of 2012 and 40% more than for the preceding quarter. The growth came from higher licensing sales for the use of its technology.
Ceva, which has been trying to compensate for the loss of telephony customers, due to the rapid switch to smartphones, has entered new markets (mobile and multimedia infrastructures), and closed several contracts with equipment vendors, which ahead of the transition to 4G LTE, sent sales soaring.
GAAP-based net profit was $3.1 million ($0.14 per share) for the fourth quarter, 16% more than for the corresponding quarter. Non-GAAP net profit was $4.5 million ($0.20 per share). The company's beat the analysts' revenue and earnings per share consensus.
The most important customers that will likely affect Ceva's performance in 2014 are Intel Corporation (Nasdaq: INTC), Samsung Electronics Co. Ltd. (KSX: 5930; LSE: SMSN), and China's Spreadtrum Communications Inc. Ceva CFO Yaniv Arieli said, "We're in every LTE processor that Intel makes and will make."
Ceva forecasts $11.6-12.6 million revenue for the first quarter of 2014 and non-GAAP earnings per share of $1.2 million ($0.12-0.14 per share).
Ceva's share price rose 7.3% in early trading on Nasdaq today to $17, giving a market cap of $373 million.
Published by Globes [online], Israel business news - www.globes-online.com - on January 30, 2014
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