Onsemi Onsemi announces financial results for the third quarter of fiscal 2022

on-semi
ONSEMI Announces Third Quarter 2022 Financial Results

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・ Sales reached a record high of $2,192.6 million, up 26% year-on-year • GAAP gross margin of 48.3%; non-GAAP gross margin of 49.3%; ・ GAAP operating profit margin was 19.4%
– Non-GAAP operating margin of 35.4%, an increase of approximately 1,100 basis points year-over-year
GAAP diluted earnings per share of $0.70, consistent with the prior-year quarter Record non-GAAP diluted earnings per share of $1.45, compared with $0.87 a year ago
– LTM free cash flow of $731 million, record LTM free cash flow margin of 21.0% [Image 1
Onsemi (Nasdaq: ON), headquartered in Phoenix, Arizona, USA, today announced financial results for the third quarter of fiscal year 2022. The main highlights are listed above.
Hassane El-Khoury, President and CEO of Onsemi, said: “Onsemi achieved another record performance this quarter with continued growth in our focus markets, automotive and industrial, including automotive electrification, energy infrastructure, advanced safety technology and factory automation. We continue to be successful in an area where semiconductor content is growing at an accelerated pace, and we are confident in our long-term prospects.In recent quarters, we have aggressively and deliberately implemented the structural changes necessary to strengthen our business. As we move forward, we are better positioned than ever to navigate the current market
uncertainty.”
Key financial performance (unaudited), including comparative periods for the current quarter:
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Q4 2022 Outlook
The following table summarizes ONSEMI’s fourth quarter 2022 GAAP and non-GAAP outlook.
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Please refer to the financial report here
(https://www.onsemi.com/site/pdf/Q322FINANCIALS.pdf).
*Diluted Shares Outstanding includes actual exercise of options and vesting of restricted stock units, increases in diluted shares due to the Company’s convertible senior It may fluctuate as a result of the sale of shares, etc. Non-GAAP diluted share counts and net earnings per share are 1.625% and 0, respectively, in periods when the average quarterly price per share exceeds $20.72 for the 1.625% bond and $52.97 for the 0% bond, respectively. % Includes the dilutive impact of our hedging transactions issued at the same time as the bonds. With average prices per share of 1.625% bonds ranging from $20.72 to $30.70 and 0% bonds ranging from $52.97 to $74.34, hedging transactions offset the dilutive impact of 1.625% and 0% bonds respectively. Diluted shares outstanding also include the dilutive effect of warrants issued concurrently with these notes during periods when the quarterly average share price exceeds $30.70 for the 1.625% notes and $74.34 for the 0% notes. Diluted shares outstanding on both GAAP and non-GAAP basis are calculated based on the higher of the average stock price of the previous quarter or the stock price as of the end of the previous quarter.
** Exceptional items include amortization of acquisition-related intangible assets, inventory valuation enhancement costs,
non-recurring facilities costs, purchased in-process research and development, restructuring, asset impairments and other, as
appropriate. (net), goodwill impairment charges, gains and losses on prepayments of borrowings, non-cash interest expense, pension plan and other pension benefit actuarial (income) and other special items. These special items are outside our control and can vary significantly from quarter to quarter. As a result, the Company cannot reasonably estimate the individual impact or significance of these special items and present them separately. Similarly, we are unable to provide non-GAAP reconciliations. Reconciliations that are not available include future income statements, balance sheets and cash flow statements in accordance with GAAP. As a result, the Company uses the gross of exceptional items forecast range in arriving at its non-GAAP operating expense outlook.
*** We believe these non-GAAP measures provide investors with important supplemental information. We use these measures in conjunction with GAAP-based measures for internal management purposes and as a comparative valuation tool. However, we do not, and should not, use only non-GAAP financial measures as our performance measures. We believe our non-GAAP financial measures reflect an additional way of looking at aspects of our business, and are consistent with our GAAP results and our published GAAP financial measures. We believe that, when considered in conjunction with our reconciliation with, we can more fully understand the factors and trends impacting our business. In addition, because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies’ non-GAAP financial measures, even if they have similar names.
Teleconference
Onsemi will host a financial industry conference call on October 31, 2022 at 9:00 a.m. ET to discuss this announcement and third quarter 2022 financial results. We also offer an on-demand replay of the conference call audio webcast approximately 30 days after the live broadcast ends. Investors and interested parties can access the audio webcast by registering here.
Cautionary Note Regarding Forward-Looking Statements
This document contains “forward-looking statements” as defined in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. I’m here. All statements, other than statements of historical fact, included in or incorporated in this document may be considered forward-looking statements and may not be appropriate for future financial statements of Onsemi, including, among other things, financial guidance for the fiscal year ending December 2022. Statements regarding performance are considered forward-looking statements. Forward-looking statements often use the term “believe,” “estimate,” “expect,” “predict,” “may,” “plan,” “intend,” “plan,” “expect.” It can be characterized by the use of words such as ‘will’ and discussion of strategies, plans and intentions. Forward-looking statements in this document are based on our current expectations, forecasts, projections and assumptions, and risks, uncertainties and other factors may cause results and events to differ materially from forward-looking statements. There is a possibility. Certain factors that may affect our future results or events are described in part of our 2021 Annual Report on Form 10-K filed with the U.S. Securities and Exchange Commission (“SEC”) on February 14, 2022. I, Item 1A, “Risk Factors,” and other SEC reports from time to time. Readers are cautioned not to place undue reliance on forward-looking statements. We undertake no obligation to update such information, except as required by law. The trends, risks and uncertainties described in this document, our 2021 Form 10-K and subsequent reports filed with or filed with the SEC before making an investment decision with respect to any of our securities should be carefully considered. If any of these trends, risks or uncertainties actually occurs or continues, it could have a material adverse effect on our business, financial condition or results of operations, could cause the trading price of our securities to decline, and may discourage you from investing. You may lose all or part of it. All forward-looking statements made by us or those acting on our behalf are expressly qualified in their entirety by this cautionary statement.
About onsemi
ONSEMI (Nasdaq: ON) is driving disruptive innovation to build a better future. ONSEMI is focused on the automotive and industrial end markets, accelerating change in megatrends such as vehicle
electrification and safety, sustainable energy grids, industrial automation, 5G and cloud infrastructure. With a highly differentiated and innovative product portfolio, ONSEMI creates intelligent power and sensing technologies that solve the world’s most complex challenges, leading the way to a safer, cleaner and smarter world. doing. ONSEMI is a Fortune 500(R) company and is included in the S&P 500(R) Index. For more information about Onsemi, please visit www.onsemi.jp. Onsemi and the Onsemi logo are registered trademarks of Semiconductor Components Industries, LLC. Other brand and product names mentioned in this document are registered trademarks or trademarks of their respective owners.