CHIP DESIGNER Wolfson reported an impressive 31 percent increase in revenues to help it post a $1.6m profit.
Wolfson, which supplies audio chips in a number of high profile smartphones and tablets including devices from Apple and Samsung as well as Microsoft's Surface RT tablet, has managed to get out of the red thanks to a surge in sales. The firm announced that its revenues increased by 31 percent from the same period in 2011 to $53m, helping the company get into the black to the tune of $1.6m.
Wolfson said sales of its mobile audio hub, an audio system-on-chip, had increased by 53 percent from the previous year. Not surprisingly given the popularity of smartphones and tablets, the firm said sales of its chips that ended in up smartphones grew by 71 percent while sales of those in tablets increased by 88 percent, however the firm said its sales of chips used in gaming and home entertainment systems declined.
The company said, "We are delighted to report that strong revenue growth has continued in the third quarter with revenues up over 30 percent, delivering the anticipated return to profitability. This growth is being driven by the increasing adoption of our industry-leading Audio Hubs and MEMS microphone products by brand-leading mobile phone and tablet computer manufacturers.
"We expect this trend to continue into the fourth quarter, with incremental revenue from product adoptions supporting growth in full-year revenue and profit despite persistent macro-economic headwinds."
Wolfson said it expects to enjoy a strong fourth quarter with revenues between $50m and $60m and forecast that 2013 will see the firm enjoy more revenue growth. Given that the company's fortunes are closely tied to those of its customers, sales of Apple, Samsung and Microsoft devices will be good indicators of how well Wolfson is doing. µ