Cree Inc. of Durham, North Carolina USA reported a 16 percent revenue decrease for the second quarter of fiscal
2007 ending December 24, 2006, compared to the same period a year ago. Profit
for the quarter declined about 6.8 percent compared to a year ago. For
the first half of fiscal 2007, the company’s revenues decreased by 8 percent
compared to the first half of fiscal 2006. Net income for the first half of
the fiscal year dropped about 24 percent, despite being bolstered by the sale
of marketable securities.
In the conference call following the release of the company’s financial
results, Cree’s president and CEO, Chuck Swoboda cited slower LED chip
sales as the reason for the decline in revenue. “The LED slowdown
was primarily due to lower sales of our mid brightness chip products for mobile
phones and other applications,” Swoboda said.