MILPITAS, Calif.--(BUSINESS WIRE)--July 28, 2009--IXYS Corporation (NASDAQ:IXYS) today reported net revenues of $48.9 million for the first fiscal quarter ended June 30, 2009, a decrease of 38.4%, as compared with net revenues of $79.3 million for the same period in the prior fiscal year. The sequential quarter decline from March 31, 2009 to June 30, 2009 was smaller at 16%.

“We believe that the decline in revenues was due mainly to the slowdown in the global economy; a pattern that has lasted now for three quarters. It appears that the decline may have leveled out, since our book to bill ratios in parts of our business have gone above 1. Despite the revenue drop, we continued our business development investment in all fronts. This resulted in expanding our product lines and penetration into new applications, like the LED based lighting and Cleantech industries,” commented Dr. Nathan Zommer, CEO of IXYS Corporation.

Gross profit was $10.3 million, or 21.2% of net revenues, for the quarter ended June 30, 2009, as compared to gross profit of $24.8 million, or 31.2% of net revenues, for the same quarter in the prior fiscal year.

Net loss for the quarter ended June 30, 2009 was $3.9 million, or $0.13 loss per diluted share, as compared to a net income of $5.5 million, or $0.17 per diluted share for the same quarter in the prior fiscal year.

“The revenue decline in the June 2009 quarter as compared to the March 2009 quarter was primarily driven by a $7 million decrease in revenues in Europe and a $3 million decrease in revenues in North America. We have taken and continue to take steps to reduce our cost structure and conserve cash. Through the collection of receivables and our cash conservation efforts, our cash increased $8.6 million from March 31, 2009 to June 30, 2009,” stated Uzi Sasson, COO & CFO at IXYS. “Our bookings improved by about $11 million from the March 2009 quarter to the June 2009 quarter; however, given the uncertainty of volatile macroeconomic conditions, we decline to give a revenue forecast for the September 2009 quarter.”

Since its founding in Silicon Valley, IXYS Corporation has been developing technology-driven products to improve power conversion efficiency, generate clean energy, improve automation, and provide advance products for the transportation, medical and telecommunication industries. IXYS is a worldwide pioneer in the development of power semiconductors and high voltage integrated circuits (HVIC) that are key to reducing the world’s dependence on fossil fuels.

Diminishing natural resources, demand for cheap energy and environmental directives for energy efficiency represent a significant challenge. IXYS’ power semiconductors and mixed-signal integrated circuits (IC) play a vital role in reducing energy costs and consumption by optimizing the energy efficiency of everyday products. With an end customer base of over 2,000 telecommunications, transportation, industrial, medical and consumer companies, IXYS is a worldwide provider of semiconductors.

Additional information may be obtained by visiting IXYS’ website at http://www.ixys.com, or by contacting the company directly.

The foregoing press release contains forward-looking statements, including those related to the decline in revenues leveling out, our book to bill ratios, bookings and continued steps to reduce cost structure and conserve cash. Actual results may vary materially from those contained in the forward-looking statements, due to changes in customer delivery schedules, the cancellation of orders, an unanticipated decline in our business, increased competition, capacity limits on our ability to manufacture our products, cash flow difficulties, unanticipated technological hurdles, adverse changes in customer demand and increasing product costs, among other things. Further information on other factors that could affect IXYS is detailed and included in IXYS’ Form 10-K for the fiscal year ended March 31, 2009, as filed with the Securities and Exchange Commission. IXYS undertakes no obligation to publicly release the results of any revisions to these forward-looking statements.

IXYS CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
(unaudited)
	June 30,		March 31,
	2009		2009
ASSETS
Current assets:
Cash and cash equivalents	$	64,158	$	55,577
Accounts receivable, net		30,512		37,251
Other receivables		1,380		671
Inventories, net		74,894		75,601
Prepaid expenses and other current assets		4,714		3,323
Deferred income taxes		13,017		12,797
Total current assets		188,675		185,220
Plant and equipment, net		51,817		52,912
Other assets		6,172		6,728
Deferred income taxes		8,199		7,972

Total assets	$	254,863	$	252,832

LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities:
Current portion of capitalized lease obligations	$	3,801	$	3,739
Current portion of notes payable to bank		1,480		1,455
Accounts payable		12,742		13,767
Accrued expenses and other current liabilities		14,641		15,342
Total current liabilities		32,664		34,303
Capitalized lease and other long term obligations, net of current portion		26,550		26,862
Pension liabilities		14,420		13,175
Total liabilities		73,634		74,340

Common stock		362		361
Additional paid-in capital		133,772		132,177
Retained earnings		40,116		43,984
Accumulated other comprehensive income		6,979		1,970
Stockholders' equity		181,229		178,492

Total liabilities and stockholders' equity	$	254,863	$	252,832

IXYS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(unaudited)
	Three Months Ended
	Jun. 30			Jun. 30
	2009			2008

Net revenues	$	48,885		$	79,336
Cost of goods sold		38,541			54,574
Gross profit		10,344			24,762
Operating expenses:
Research, development and engineering		4,569			5,394
Selling, general and administrative		8,348			11,059
Total operating expenses		12,917			16,453

Operating income (loss)		(2,573	)		8,309
Other income (expense), net		(1,741	)		766

Income (loss) before income tax provision		(4,314	)		9,075
Provision for (benefit from) income tax		(446	)		3,591

Net income (loss)	$	(3,868	)	$	5,484

Net income (loss) per share - basic	$	(0.13	)	$	0.18

Weighted average shares used in per share calculation - basic		30,679			31,181

Net income (loss) per share - diluted	$	(0.13	)	$	0.17

Weighted average shares used in per share calculation - diluted		30,679			32,226