Silicon Labs sees record revenue, continues IoT push

Silicon Labs continues to transform itself from a company once known by its broadcast and Internet access devices to one known for its growing Internet of Things offerings.

The Austin-based chipmaker Wednesday reported record revenue of $205.38 million for its first quarter, which ended March 31. The upswing in revenue, up 15 percent, or about $26.3 million over the same quarter last year, was boosted by 17 percent yearover-year revenue growth in its Internet of Things division. Additionally, Silicon Labs reported that revenue from its infrastructure division rose by 37 percent for the quarter.

The Internet of Things is a tech industry term for non-computing devices — such as appliances or lamps — that are connected to the Internet.

Silicon Labs’ Internet of Things division generated 50 percent of the company’s first quarter revenue, CEO Tyson Tuttle said.

“Silicon Labs is well positioned to play a leading role in an $8 billion IoT market opportunity,” Tuttle said in a Wednesday call with investors and analysts. “We deliver easy to use products, platforms and tools to simplify development, and we have a well developed channel to get our solutions to market.”

Silicon Labs reported profit for the quarter of $26.4 million, or 60 cents per share, up $10.98 million year-over-year. Adjusted for one-time gains and costs, the company had earnings of 87 cents per share. Analysts polled by Zacks Investment Research had predicted 76 cents per share.

Silicon Labs’ shares closed Wednesday up $6.20, or about 7 percent, at $95.20. The company’s share price has risen by more than 20 percent during the past year.

Founded in 1996, Silicon Labs