As expected buoyant iPod sales drove prosperity for Apple's music player chip partner, Portal Player.
The company released its second quarter results yesterday, declaring net second quarter income of $6.3 million. Portal Player's net income in its year-ago quarter was a loss of $880,000; while the firm earned $7.8 million in its first 2005 quarter.
New iPods cometh?
Company president and CEO Gary Johnson hinted that new multimedia products integrating his company's technologies would ship in the second half of this year, saying: "We have completed the design win activity for our customers' exciting new models intended to ship in the second half of 2005."
Defining the period as, "another great quarter for PortalPlayer," Johnson trilled: "We successfully executed on our product road map and business plan, and demand for personal media players that incorporate our technology was again stronger than seasonal trends this quarter.
"As a result, our second quarter revenue nearly quadrupled from the second quarter a year ago, and we again generated more than $13 million in cash during the quarter. As planned, we also invested in additional engineering resources to support our strategic roadmap going forward."
Significant demand drives bullish targets
"During the quarter, we smoothly ramped production on our new PP5022 device and, as of today, we reached a significant milestone of shipping more than six million of the devices."
Looking forward, Johnson provided bullish guidance. Portal Player's supply chain has been tweaked to cope with "significant demand" in the second half of 2005.
He revealed: "During the second quarter, we also accelerated our investment in innovative wireless technologies that we believe will help fuel our growth in 2006 and beyond."
"We are excited about the upcoming back-to-school and holiday season and believe we are very well positioned for significant growth in the second half of the year. We believe that our revenue for the third quarter of 2005, which is the quarter we expect to begin to recognize revenue from flash-based designs, could be in the range of $50 million to $60 million," he said.