Digital media player Chipsets increased revenue for Sigma in Q4 2009

posted Mar 15, 2010, 1:25 AM by Henrik Cort Tranæs   [ updated Mar 15, 2010, 5:33 AM ]

Digital Media Player Market

It is becoming more and clearer that Sigma is relying more heavily on their sales of chipset to the emerging Digital media player market. In their latest Q4 financial report, Sigma comments on the market development in the following paragraph;
"Our connected media player sales were also up, reflecting increased sell-through rates for consumer products such as network players that enable Internet access for playback of over-the-top content."

Share of Revenue rising

Of the total revenue of $68,1 million $15,1 million comes form the sales of chipsets to digital media players, which amount to 22% of total revenue.

Sigma’s designs Revenue also bumped up considerably higher than the lat quarter revenue. According to Sigma statement; "Net revenue for the fourth quarter was $68.1 million, an increase of $32.6 million, or 92%, from $35.5 million reported in the previous quarter and up $20.8 million, or 44%, from $47.3 million reported for the same period last year."

Whether the change is revenue is directly linked to the rising sales of media players of if it relates to other parts of Sigma business is difficult to say, however DMC expects that the contribution is high and that in the following quartersboth Sigma and Realtek will posts higher revenue numbers based mainly of the rising sales of media player to the consumer.