Q2 2014 financials:
o Revenue of $193.7m (Q2 2013: $262.5m) down 26% year-on-year as expected, mainly reflecting a 70% decline in Legacy revenue,
o Core revenue of $175.6m (Q2 2013: $203.1m), down 14% year-on-year, primarily due to weakness in Camera, Gaming and non-factory-fit Auto, as well as reflecting non-recurring Voice & Music revenue in China during Q2 2013,
o Record underlying gross margin 57.5% (Q2 2013: 52.6%) and record IFRS gross margin 57.0% (Q2 2013: 51.8%) due to change in revenue mix towards Core,
o Underlying operating profit of $29.5m (Q2 2013: $39.3m); IFRS operating profit sharply up to $64.5m (Q2 2013: $22.3m) mainly reflecting benefit from Imaging IP asset sale,
o Underlying diluted earnings per ordinary share of $0.13 (Q2 2013: $0.18),
o Ended Q2 2014 with cash, cash equivalents and treasury deposits of $236.8m (Q2 2013: $285.0m), due to $50m share buyback and payment of 2013 final dividend,
o Continue to return cash to shareholders with additional $20m buyback and $20m EBT purchase.
Momentum in platform strategy:
o aptX® added 27 licences during Q2 2014, taking total to nearly 280, and increased adoption for aptX in Automobiles, with Clarion implementing aptX for in-vehicle head units,
o Series of Tier One design wins for Bluetooth Smart including Lenovo and Philips,
o Three Tier One design wins for Bluetooth and Bluetooth Smart in set-top boxes,
o CSRmesh gaining increasing market traction in consumer lighting and home automation,
o Entered into volume production for Auto factory-fit SoC during Q2.
Interim dividend $0.052 per ordinary share, up 15% from the 2013 interim dividend of $0.045 per ordinary share.
