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Mentor Graphics Corporation today announced financial results for the company’s fiscal fourth quarter ended January 31, 2015. The company reported revenues of $439.1 million, non-GAAP earnings per share of $1.09, and GAAP earnings per share of $0.96. For the full fiscal year, revenues were $1.244 billion, non-GAAP earnings per share were $1.77, and GAAP earnings per share were $1.26.
“Mentor Graphics set all-time records for the fourth quarter and full-year fiscal 2015,” said Walden C. Rhines, chairman and CEO of Mentor Graphics. “Fourth quarter results were driven primarily by Asian foundries and their customers adopting Design-to-Silicon solutions for 14nm and 10nm nodes and by the automotive sector’s continued demand for embedded software and electrical design products. Mentor’s board of directors is raising the quarterly dividend by 10% to $0.055 per share.”
During the quarter, the company announced new releases of its award-winning computational fluid dynamics product, FloEFD™, and of its Flowmaster® simulation software for modeling thermo-fluid systems. Both products provide advanced capabilities to support the automotive industry. The company also announced Mentor® Embedded virtual prototype kits for the company’s Vista™ and Sourcery™ CodeBench products. The kits enable embedded developers to integrate and optimize software on various platforms, especially for automotive in-vehicle infotainment and electronic control unit networks. Mentor also made available automotive Ethernet support in the Volcano™ VSA™ product for network design of electronic control units. This addresses timing analysis challenges where a mixture of network busses co-exist, for example in advanced driver assistance systems.
“In the fourth quarter we posted numerous all-time records including bookings, revenue, and both GAAP and non-GAAP earnings per share,” said Gregory K. Hinckley, president of Mentor Graphics. “Similarly, we had record revenue and non-GAAP earnings per share for the full year. Strength in the Design-to-Silicon products category reinforces our leadership position in traditional EDA markets and our transportation offerings continue to benefit from expanding opportunities for advanced electrical design. Continued attention to expenses drove record non-GAAP operating margins for the quarter and year.”
For the first quarter of fiscal 2016, the company expects revenues of about $260 million, non-GAAP earnings per share of about $0.18 and GAAP earnings per share of approximately $0.08. For the full year fiscal 2016, the company expects revenues of about $1.282 billion, non-GAAP earnings per share of about $1.85, and GAAP earnings per share of approximately $1.45. The fiscal 2016 non-GAAP guidance, first quarter and full year, anticipates a normalized non-GAAP tax rate of 19% which is an increase from the fiscal 2015 rate of 17%.
The company announced a 10% increase in the quarterly dividend to $0.055 per share on outstanding common stock. The dividend is payable on March 31, 2015 to shareholders of record at the close of business on March 10, 2015.
About Mentor Graphics
Mentor Graphics Corporation is a world leader in electronic hardware and software design solutions, providing products, consulting services and award-winning support for the world’s most successful electronic, semiconductor and systems companies. Established in 1981, the company reported revenues in the last fiscal year in excess of $1.24 billion. Corporate headquarters are located at 8005 S.W. Boeckman Road, Wilsonville, Oregon 97070-7777. World Wide Web site: http://www.mentor.com/.