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Hittite Microwave (HITT)

Ever more complicated computer chips are making their way into more places, allowing for new applications such as "intelligent" cruise-control systems in cars that automatically slow a vehicle as it approaches oncoming traffic. Hittite Microwave has a hand in many of those markets, as a sought-after designer of integrated circuits. The company doesn't actually make microcircuits, a task that requires multibillion-dollar fabrication plants. Instead, Hittite leverages its engineering expertise to design chips for everything from cable modems to space satellites. The company's shares have nearly doubled since its initial public offering last July. Over the last two years, revenue almost doubled to $80.7 million in 2005 from a year earlier, while profits tripled to $20.1 million. The Chelmsford (Mass.) company even expanded its enviable gross margin from 63% to 68%. As more devices get more smarts, Hittite's engineering prowess will be in even more demand.

Company Info

2005 Rank

NR

Market Value*
($ Millions)

1,115.6

Sales*
($ Millions)

90.7

Sales Growth
(3-yr. avg. annual)

38.1 %

Profits*
($ Millions)

25.7

Profit Growth
(3-yr. avg. annual)

73.1 %

Return on Inv. Capital (3-yr.)

25.4 %

Share Price
12-Mo. Hi/Lo

39/18

Share Price
As of 4/28/06

39

Return on Equity

24.3 %

P/E Ratio

46

No. of Employees

220

Industry Semiconductors
CURRENT
MARKET INFO

HITT >

COMPANY WEB SITE >
Location Chelmsford, Mass.
Phone 978 250-3343
*Trailing 12 months
Stock price data as of 4/28/06
DATA: Standard & Poor's Compustat

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Company Snapshot

Hittite Microwave engages in the design and development of analog and mixed-signal integrated circuits, modules, and subsystems used in radio frequency, microwave, and millimeter wave applications worldwide. The company's product portfolio comprises amplifiers, attenuators, frequency dividers and detectors, frequency multipliers, mixers and converters, modulators, oscillators, phase shifters, sensors, and switches. In addition, it supplies custom semiconductor components to its customers. The company's products are used in a range of wired and wireless communications applications, such as cellular telephone base stations, microwave and millimeter wave radio systems, broadband wireless access systems, and direct broadcast satellite systems. Its products are also used in detection, measurement, and imaging applications, including military communication, targeting, guidance, and electronic countermeasure systems; commercial, scientific, and military spacecraft; automotive collision avoidance systems; medical imaging systems; and industrial test equipment. Hittite Microwave sells its products to original equipment manufacturers through direct sales force, independent sales representatives, and distributors. The company was founded in 1985 by Yalcin Ayasli and is headquartered in Chelmsford, Mass.


Data provided by Capital IQ
 
Stephen G. Daly

Stephen G. Daly, 40

Chairman, Chief Executive Officer and President


Total Compensation*

$ 270,909

Total Options Value*

$ 5,749,456

* Fiscal Year 2005

DEGREES HELD
Northeastern University - BS


Executive Bio

Stephen Daly has served as president of Hittite Microwave since January, 2004, and as chief executive since December, 2004. Daly also serves as director of Hittite Microwave. Since joining Hittite in 1996, Daly has held various positions, including applications engineer, principal sales engineer, director of sales, and director of marketing. From 1992 to 1996, Daly held sales management positions at Alpha Industries and M/A-COM, which are RF and microwave semiconductor companies. From 1988 to 1992, Daly held various microwave design engineering positions at Raytheon's Missile Systems Div. and Special Microwave Device Operations Div. Daly received a BS in electrical engineering from Northeastern University.


Management Team

Key Executives

Stephen G. Daly; Michael J. Koechlin; Norman G. Hildreth; William W. Boecke; Brian Jablonski

Board Directors

Franklin Weigold; Rick D. Hess; Bruce R. Evans; Stephen G. Daly; Yalcin Ayasli; Cosmo S. Trapani


Executive Data provided by Capital IQ