Cirrus Logic Guides September Quarter Revenue Up More than 70 Percent Sequentially

Reports Fiscal Q1 Non-GAAP EPS of $0.22 ($0.10 GAAP) on revenue of $99 million

AUSTIN, Texas--(BUSINESS WIRE)--July 30, 2012--Cirrus Logic, Inc. (Nasdaq: CRUS), a leader in high-precision analog and digital signal processing components, today posted on its investor relations website at http://investor.cirrus.com the quarterly Shareholder Letter that contains the complete financial results for the first quarter, which ended June 30, 2012, as well as the company’s current business outlook.

“I would like to take this opportunity to publicly thank all of the Cirrus Logic employees who have worked incredibly hard over the past several years to position the company for this sharp transition to a higher level of revenue," said Jason Rhode, president and chief executive officer. "This team's ability to formulate and execute a strategy is truly remarkable and gives us great confidence as we continue to increase our R&D investment in order to support our customers and pursue further growth opportunities. We expect FY13 to be an outstanding year for Cirrus Logic and our long term shareholders.”

A reconciliation of the non-GAAP charges is included in the tables accompanying this press release.

In addition, the company is announcing the sale of assets associated with its Apex Precision Power business in Tucson, Ariz., for $26 million. After the sale, Cirrus Logic will continue to maintain a high voltage/high power IC design team in Tucson. This transaction is expected to close within 45 days, subject to certain standard closing conditions. More information is included in our quarterly Shareholder Letter.

Cirrus Logic will host a live Q&A session at 5 p.m. EDT on Monday, July 30, 2012, to answer questions related to its financial results and business outlook. Shareholders who would like to submit a question to be addressed during the call are requested to email investor.relations@cirrus.com. A live webcast of the Q&A session can be accessed on the Cirrus Logic website, and a replay will be available approximately two hours after the completion of the call, or by dialing (719) 457-0820, or toll-free at (888) 203-1112 (Access Code: 98762608).

Cirrus Logic develops high-precision, analog and mixed-signal integrated circuits for a broad range of innovative customers. Building on its diverse analog and signal-processing patent portfolio, Cirrus Logic delivers highly optimized products for a variety of audio and energy-related applications. The company operates from headquarters in Austin, Texas, with offices in Tucson, Ariz., Europe, Japan and Asia. More information about Cirrus Logic is available at www.cirrus.com.

To supplement Cirrus Logic's financial statements presented on a GAAP basis, Cirrus has provided non-GAAP financial information, including operating expenses, net income, operating margin and diluted earnings per share. A reconciliation of the adjustments to GAAP results is included in the tables below. Non-GAAP financial information is not meant as a substitute for GAAP results, but is included because management believes such information is useful to our investors for informational and comparative purposes. In addition, certain non-GAAP financial information is used internally by management to evaluate and manage the company. The non-GAAP financial information used by Cirrus Logic may differ from that used by other companies. These non-GAAP measures should be considered in addition to, and not as a substitute for, the results prepared in accordance with GAAP.

Except for historical information contained herein, the matters set forth in this news release contain forward-looking statements, including our estimates of second quarter fiscal year 2013 revenue, gross margin, combined research and development and selling, general and administrative expense levels, share-based compensation expense, amortization of acquired intangible expenses, and inventory increases. In some cases, forward-looking statements are identified by words such as “expect,” “anticipate,” “target,” “project,” “believe,” “goals,” “opportunity,” “estimates,” “intend,” and variations of these types of words and similar expressions. In addition, any statements that refer to our plans, expectations, strategies or other characterizations of future events or circumstances are forward-looking statements. These forward-looking statements are based on our current expectations, estimates and assumptions and are subject to certain risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties include, but are not limited to, the following: the level of orders and shipments during the second and third quarter and complete fiscal year 2013, as well as customer cancellations of orders, or the failure to place orders consistent with forecasts; our ability to introduce and ramp production of new products in a timely manner; and the risk factors listed in our Form 10-K for the year ended March 31, 2012, and in our other filings with the Securities and Exchange Commission, which are available at www.sec.gov. The foregoing information concerning our business outlook represents our outlook as of the date of this news release, and we undertake no obligation to update or revise any forward-looking statements, whether as a result of new developments or otherwise.



CIRRUS LOGIC, INC.
CONSOLIDATED CONDENSED STATEMENT OF OPERATIONS
(unaudited)
(in thousands, except per share data)

	Three Months Ended

	Jun. 30,			Mar. 31,			Jun. 25,
	2012			2012			2011
	Q1'13			Q4'12			Q1'12
Audio products	$	80,747		$	90,522		$	71,120
Energy products		18,259			20,109			21,122
Net revenue		99,006			110,631			92,242
Cost of sales		45,566			48,284			44,533
Gross Profit		53,440			62,347			47,709

Research and development		24,910			24,105			18,767
Selling, general and administrative		18,059			17,254			14,606
Other expenses (proceeds)		-			100			-
Total operating expenses		42,969			41,459			33,373

Operating income		10,471			20,888			14,336

Interest income, net		127			139			154
Other income (expense), net		(23	)		45			(17	)
Income before income taxes		10,575			21,072			14,473
Provision (benefit) for income taxes		3,648			(29,755	)		5,295
Net income	$	6,927		$	50,827		$	9,178

Basic income per share:	$	0.11		$	0.79		$	0.14
Diluted income per share:	$	0.10		$	0.75		$	0.13

Weighted average number of shares:
Basic		64,470			64,213			67,099
Diluted		68,529			67,913			70,445

See notes to Consolidated Condensed Statement of Operations
Prepared in accordance with Generally Accepted Accounting Principles



CIRRUS LOGIC, INC.
CONSOLIDATED CONDENSED BALANCE SHEET
(in thousands)

	Jun. 30,			Mar. 31,
	2012			2012
	(unaudited)
ASSETS
Current assets
Cash and cash equivalents	$	84,312		$	65,997
Restricted investments		-			-
Marketable securities		82,359			115,877
Accounts receivable, net		49,262			44,153
Inventories		96,790			55,915
Deferred tax asset		53,139			53,137
Other current assets		14,574			16,508
Total Current Assets		380,436			351,587

Long-term marketable securities		-			2,914
Property and equipment, net		85,337			66,978
Intangibles, net		18,457			18,241
Goodwill		6,027			6,027
Deferred tax asset		85,721			89,071
Other assets		9,300			9,644
Total Assets	$	585,278		$	544,462

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Accounts payable	$	75,507		$	38,108
Accrued salaries and benefits		10,956			13,634
Other accrued liabilities		9,498			14,015
Deferred income on shipments to distributors		7,158			7,228
Total Current Liabilities		103,119			72,985

Long-term restructuring accrual		-			-
Other long-term obligations		4,159			5,620

Stockholders' equity:
Capital stock		1,013,442			1,008,228
Accumulated deficit		(534,682	)		(541,609	)
Accumulated other comprehensive loss		(760	)		(762	)
Total Stockholders' Equity		478,000			465,857
Total Liabilities and Stockholders' Equity	$	585,278		$	544,462

Prepared in accordance with Generally Accepted Accounting Principles

CIRRUS LOGIC, INC.

RECONCILIATION BETWEEN GAAP AND NON-GAAP FINANCIAL INFORMATION

(unaudited, in thousands, except per share data)

(not prepared in accordance with GAAP)

Non-GAAP financial information is not meant as a substitute for GAAP results, but is included because management believes such information is useful to our investors for informational and comparative purposes. In addition, certain non-GAAP financial information is used internally by management to evaluate and manage the company. As a note, the non-GAAP financial information used by Cirrus Logic may differ from that used by other companies. These non-GAAP measures should be considered in addition to, and not as a substitute for, the results prepared in accordance with GAAP.


	Three Months Ended

	Jun. 30,			Mar. 31,			Jun. 25,
	2012			2012			2011
Net Income Reconciliation	Q1'13			Q4'12			Q1'12
GAAP Net Income	$	6,927		$	50,827		$	9,178
Amortization of acquisition intangibles		353			353			353
Stock based compensation expense		4,173			3,451			2,442
Other expenses (proceeds) *		-			263			-
Provision (benefit) for income taxes		3,355			(30,310	)		4,984
Non-GAAP Net Income	$	14,808		$	24,584		$	16,957

Earnings Per Share Reconciliation
GAAP Diluted income per share	$	0.10		$	0.75		$	0.13
Effect of Amortization of acquisition intangibles		0.01			0.01			0.01
Effect of Stock based compensation expense		0.06			0.05			0.03
Effect of Other expenses (proceeds) *		-			-			-
Effect of Provision (benefit) for income taxes		0.05			(0.45	)		0.07

Non-GAAP Diluted income per share	$	0.22		$	0.36		$	0.24

Operating Income Reconciliation
GAAP Operating Income	$	10,471		$	20,888		$	14,336
GAAP Operating Margin		11	%		19	%		16	%
Amortization of acquisition intangibles		353			353			353
Stock compensation expense - COGS		118			113			89
Stock compensation expense - R&D		2,243			1,753			1,043
Stock compensation expense - SG&A		1,812			1,585			1,310
Other expenses (proceeds) *		-			263			-
Non-GAAP Operating Income	$	14,997		$	24,955		$	17,131
Non-GAAP Operating Margin		15	%		23	%		19	%

Operating Expense Reconciliation
GAAP Operating Expenses	$	42,969		$	41,459		$	33,373
Amortization of acquisition intangibles		(353	)		(353	)		(353	)
Stock compensation expense - R&D		(2,243	)		(1,753	)		(1,043	)
Stock compensation expense - SG&A		(1,812	)		(1,585	)		(1,310	)
Other expenses (proceeds) *		-			(263	)		-
Non-GAAP Operating Expenses	$	38,561		$	37,505		$	30,667

* Other expenses (proceeds) may contain certain items such as litigation expenses, proceeds from a patent agreement, restructuring items, and impairments of non-marketable securities.

CONTACT:
Investors:
Cirrus Logic, Inc.
Thurman K. Case, 512-851-4125
Chief Financial Officer
Investor.Relations@cirrus.com