Cree shares rallied 14 percent to $18.76 Wednesday after a positive earnings report just as cleantech investors are sifting through numbers to separate the strong from the weak. Demand from consumer and automotive products may be down, but government spending in China and possibly the U.S. remains promising.
Cree said revenue in the quarter ended Dec. 28 was $148 million, up 5 percent from a year earlier. Most of the gains came from its core LED products. LED revenue rose 28 percent from a year earlier and 3 percent from the previous quarter. That was more than enough to offset areas that saw declines in revenue, such as high-power products and materials.
Other metrics showed the company is pushing into the recession in good health. Gross margin was 39 percent compared to 36 percent a year earlier. Operating cash flow was $41 million in the quarter, up from $35 million a year earlier but down from $44 million in the previous quarter.
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