Semiconductor Value Chain

National Instruments Reports Flat Revenue Growth for Q2, Expects Soft Second Half

29 July 2013

National Instruments announced Q2 revenue of $296 million, a 1 percent increase from Q2 2012. In Q2, the company's orders under $20,000 declined 4 percent year-over-year; orders between $20,000 and $100,000 grew 4 percent year-over-year; and orders above $100,000 declined 30 percent year-over-year after growing approximately 130 percent year-over-year in Q2 2012.

The company reported $30 million in orders from its largest customer, and recognized $23 million in revenue from this same customer in Q2 2013.

"Although the test and measurement industry had a challenging quarter, we were able to grow revenue while executing disciplined cost management," said James Truchard, co-founder, president and CEO.

Revenue for Q2 2013 compared to Q2 2012 was down 1 percent in the Americas, up 2 percent in Europe, up 10 percent in East Asia and down 15 percent in Emerging Markets.

Although Q2 was a difficult quarter for our industry and for National Instruments, we believe NI was able to gain market share," said Alex Davern, the company’s COO and CFO.

National Instruments continues to be conservative in planning for Q3 due to the weak industry conditions. As a result, the company expects revenue for Q3 2013 to be between $265 million and $295 million, a decrease of 3 percent year-over-year at the midpoint of guidance.

Looking out to Q4, National Instruments is adjusting its spending plans to reflect the more difficult industry conditions.

Since 1976, the test & measurement company has developed a graphical system design approach to engineering with an integrated software and hardware platform that speeds the development of any system needing measurement and control.

As of June 30, NI had $324 million in cash and short-term investments. The National Instruments board of directors approved a quarterly dividend of $0.14 per share on the company's common stock payable on Sept. 3, 2013 to stockholders of record on Aug. 12, 2013.



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