Semtech Corporation (Semtech), a supplier of analog and mixed-signal semiconductors, has reported net sales of $294.8 million for the fiscal 2009, compared with the net sales of $284.8 million in the previous year-end. It has also reported net income of $37.5 million, or $0.61 per diluted share, for the fiscal 2009, compared with the net income of $47.8 million, or $0.71 per diluted share, in the previous year-end.

Net revenues for the fourth quarter of fiscal year 2009 were $62.7 million, down 20% from the fourth quarter of fiscal year 2008 and down 21% when compared to the third quarter of fiscal year 2009.

Net income for the fourth quarter of fiscal year 2009, computed in accordance with US generally accepted accounting principles (GAAP), was $6.3 million or 10 cents per diluted share. GAAP net income was $14.9 million or 23 cents per diluted share in the fourth quarter of fiscal year 2008 and was $11.5 million or 19 cents per diluted share in the third quarter of fiscal year 2009.

GAAP gross profit margin for the fourth quarter of fiscal year 2009 was 53.2% compared to 54.9% in the fourth quarter of fiscal year 2008 and 53.5% in the third quarter of fiscal year 2009.

Non-GAAP net income for the fourth quarter of fiscal year 2009 was $8.8 million or 15 cents per diluted share. Non-GAAP net income was $16.8 million or 26 cents per diluted share in the fourth quarter of fiscal year 2008 and was $14.9 million or 24 cents per diluted share in the third quarter of fiscal year 2009.

Non-GAAP gross profit margin for the fourth quarter of fiscal year 2009 was 53.5%. Non-GAAP gross profit margin for the fourth quarter of fiscal year 2008 was 55.5% and 54.0% in the third quarter of fiscal year 2009.

Operating expenses for the fourth quarter of fiscal year 2009 include about $0.5 million related to the informal SEC inquiry, the grand jury subpoena, the derivative and class action litigation, and other matters related to historical stock option practices. In the third quarter of fiscal year 2009 these expenses were about $0.6 million.

The company had $258.8 million of cash, cash equivalents and marketable securities as of January 25, 2009, which was up from $245.2 million at the end of the third quarter of fiscal year 2009 despite the $1.6 million paid as a result of the settlement of the derivative lawsuit and repurchasing about $3.4 million or 319,000 shares of its common stock under a program previously authorized by the board of directors.

Shipments exceeded new orders for the quarter resulting in a book-to-bill ratio below one as orders were down across most market segments.

Mohan Maheswaran, Semtech’s president and chief executive officer, stated, Semtech ended the fiscal year delivering record annual revenues for the second consecutive year. While Q4 revenues declined against the backdrop of a very challenging macro economy, we were able to increase our cash position and reduce our inventories within the quarter. We remain confident that Semtech will emerge from this downturn as one of the highest performing companies in our sector.

First Quarter Outlook:

The company estimates net sales for the first quarter, which ends April 26, 2009, will be between $52 million and $58 million. GAAP earnings for the first quarter of fiscal year 2010 are anticipated to be 2 to 7 cents per diluted share.