Cree (CREE) is guiding for FQ2 revenue of $400M-$420M and EPS of $0.36-$0.41, largely below a consensus of $414.3M and $0.44.
FQ1 gross margin was 38.6%, 40 bps Q/Q and +180 bps Y/Y, but below a guidance midpoint of 39%. It's the second quarter in a row (previous) Cree, which has received both a top-line boost and a margin hit from the sale of cheaper LED bulbs through Home Depot and other retail channels, has missed its gross margin guidance midpoint.
LED product (component) sales +16% Y/Y and 56% of revenue (was 58% in FQ4). Lighting products sales (inc. LED bulbs) +37% Y/Y and 38% of revenue (36% in FQ4). Power/RF products +24% and still 6% of revenue.
LED products gross margin was 46.6% (=90 bps Q/Q), lighting products 26.9% (+180 bps), Power/RF 53.7% (unchanged).
FQ1 results, PR