Shares rose as much as six per cent for Cree as the company announced record revenue of 315.8 million dollars for its first fiscal quarter,which ended September 23rd,2012.
This is a 17 per cent increase compared to revenue of 269m dollars for the first quarter of the last financial year,and a three per cent increase from the fourth quarter of the last year.This fits within its target range for revenue of $305m to 325m dollars.
The company also announced a non-GAAP net income of 32m dollars,or0.27 dollar per diluted share.
Speaking at a conference call,Cree CEO and president officer Chuck Swoboda revealed the company's priorities for the fiscal year of 2013,which included increasing sales of lighting products and accelerating the adoption of LEDs.
He added that LED adoption continued to gain momentum in Q1 with new installations.He cited recent examples of Cree projects such as the renovation of the Senate office building,the replacement of streetlights in Oyster Bay,New York and seven schools in Virginia.
He also referred to Cree's new 10-year warranty,which is unheard of in the traditional lighting industry,and critical to reducing the cost of ownership.
Mr Swoboda highlighted the firm's methods of reducing cost in LED components while increasing performance.He said,We are seeing the positive impact these gains have on our LED and lighting businesses.
The company emphasised that it would continue with the close management of its factory inventories and work to respond to short lead time expectations in the LED and lighting markets.
Cree also predicts more growth in the current quarter,which ends December 30th.The company anticipates revenue will range from 320m dollars to 340m pounds.
Mr Swoboda said,Overall,company backlog is ahead of this point last quarter,with lighting and LEDs trending higher.We continue to be encouraged by our progress in LED lighting,but the macroeconomic environment is a headwind on our growth outlook and our customer's outlook.We are focussed on using new product innovation to drive growth through share gains against traditional technologies and opening new applications for LED lighting.
