SiRF Technology Goes Its Own Way (SIRF, NVT)

SiRF Technology Holdings Inc. (NASDAQ:SIRF), a Global Positioning Systems chip maker, isn’t following quite the same lead of NAVTEQ (NYSE:NVT) in after-hours trading.  It is possible that the street read the GAAP EPS headline number rather than the non-GAAP, although the revenues look a tad light.

The company posted $0.23 non-GAAP EPS on revenues of $70.6 million, and gross margins of 54.6%.  Unfortunately, Wall Street was looking for $0.23 EPS on $71.5 million in revenues.  The share calculation was up to 56.5 million shares from the prior 56 million shares from Q2 2006.

Total cash, cash equivalents and short-term investments were $211.0 million at June 30, 2007, compared with $170.2 million at December 31, 2006. Long-term investments were $2.0 million at June 30, 2007, compared with $26.4 million at December 31, 2006.  Shares are down about 7% in after-hours trading, and unfortunately that will put shares within 10% of its 52-week lows.  We’ll have to see how this trades tomorrow morning when it is more liquid before passing any final judgement.

Jon C. Ogg
July 31, 2007

Jon Ogg can be reached at [email protected]; he does not own securities in the companies he covers.