Lattice Semiconductor (NASDAQ: LSCC) reported Q1 EPS of $0.15, $0.01 better than the analyst estimate of $0.14. Revenue for the quarter came in at $97.32 million versus the consensus estimate of $98.26 million.

• Gross Margin Expands to 59.1% / 59.8% for Q1 2020 on a GAAP / Non-GAAP Basis, from 58.8% / 58.6%, respectively, for Q1 2019
• Operating Margin at 10.0% / 22.7% of revenue for Q1 2020 on a GAAP / Non-GAAP Basis, from 12.7% / 19.9%, respectively, for Q1 2019
• Net Income Improves to $0.06 / $0.15 Per Diluted Share for Q1 2020 on a GAAP / Non-GAAP Basis, from $0.05 / $0.11, respectively, for Q1 2019

Jim Anderson, President and Chief Executive Officer, said, "I am pleased with the results we delivered in the first quarter of 2020 given the dynamic environment around COVID-19. We achieved a 120 basis point expansion in gross margin on a non-GAAP basis in the first quarter 2020 on a year over year basis, with a 39% increase in non-GAAP net income on a year over year basis, as we benefited from our actions to expand gross margin and profitability. With regard to COVID-19, we took action quickly to ensure employee health and safety, while making sure our operations ran as close to normal as possible. I want to thank our employees and partners for strong execution in the current environment. We are focused on continuing to build the momentum of the products we launched last year, including our NEXUS™ next generation platform, our CrossLink-NX™ FPGA, and our MachXO3D™ platform security product."

Sherri Luther, Chief Financial Officer, said, "For the first quarter 2020, diluted EPS was up 20% on a GAAP basis and up 36% on a non-GAAP basis compared to Q1 2019. We generated healthy cash flow from operations of $21 million, as we continue our focus on cash generation. Given the current environment, we took the opportunity to preemptively draw down $50 million on our credit revolver to further solidify our cash position. As a result, we ended the quarter with $177 million in cash on hand providing very strong liquidity for the Company. We remain focused on making progress toward our financial goals and target model."

GUIDANCE:

Lattice Semiconductor sees Q2 2020 revenue of $95-105 million, versus the consensus of $100.94 million.

• Revenue for the second quarter of 2020 is expected to be between $95 million and $105 million.
• Gross margin percentage for the second quarter of 2020 is expected to be 60% plus or minus 1% on a non-GAAP basis
• Total operating expenses for the second quarter of 2020 are expected to be between $36 million and $37 million on a non-GAAP basis.

For earnings history and earnings-related data on Monolithic Power Systems (LSCC) click here.