Earnings Preview: Synaptics to Announce Conservative Q2 Financial Numbers
By:NewsyStocks   Wednesday, January 18, 2022 11:30 AM



Synaptics Inc. is showing strong fundamental foundation and hence the company is expected to report positive results for the second quarter of financial year 2012. The company is also likely to close the year with healthier cash balance. Market analysts are expecting Synaptic to announce its second quarter earnings at $0.62 per share. Its full year earnings are expected to stand at $2.58 per share. The company stock is currently trading at the P/E ratio of 12.4.

Expectations

Synaptics Inc. is expected to report its revenue for the second quarter of FY 2012 at $142 million, while its cost of revenue is likely to be pegged at $76.87 million. The company's gross profit is expected to be at $65.38 million, whereas its total operating expenses are likely to be at $39.85 million. The company's operating income expectations have been pegged at $25.528 million, whereas its net income is expected to be at $20.347 million.

First Quarter Results

Synaptics Inc. reported its first quarter revenue at $133.446 million and its cost of revenue for the same period stood at $71.871 million. The company reported its gross profit at $61.575 million and its R&D expenses for the period were reported at $24.685 million. Synaptics Inc. also spent $12.399 million on selling expenses during the first quarter of Financial Year 2012. The company's net income for the first quarter was reported at $19.146 million. Synaptics Inc. had reported its diluted earnings at $0.57 per share.

Punch Line

Synaptics Inc.  is expected to suffer due to stagnation in PC notebook market. The company is also facing the problem of falling gross margin and the problem is likely to continue. Synaptics Inc. also has to contend with increasing competition which will further strain its profit margin. The company's market share is also deteriorating, which is likely to affect its annual results.

 

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