Integrated Silicon Solution (ISSI), a manufacturer of integrated circuit for automotive and communications, has posted a 12.43 percent fall in profit for the quarter ended Jun. 30, 2014.

The company earned $6.19 million or $0.19 a share in the third-quarter compared with $7.06 million or $0.24 a share a year ago. Adjusted earnings per share came in at $0.25, when analysts expected $0.24.

Revenue during the third-quarter grew 9.06 percent to $84.83 million from $77.79 million in the last year period.

Gross margin expanded by 105 basis points over the previous year period to 34.53 percent. Total expenses as a percentage of revenues decreased to 92.48 percent from 94.04 percent in the same period last year. That has resulted in improvement of 156 basis points in operating margins to 7.52 percent.

The company disclosed operating income of $6.38 million compared with $4.64 million in the last year period.

"We reported our third consecutive quarterly revenue record with sales growing by almost 5% sequentially, driven by strength in our IMM and automotive markets as well as improved revenue in the communications market," said Scott Howarth, ISSI's president and CEO. "During the quarter, we also achieved solid margin performance with operating margin increasing to 7.5% as a result of our ongoing focus on cost reductions and operating leverage."

The company expects total revenue for the September quarter to range between $85.0 million and $89.0 million. GAAP net income is expected to be between $0.15 and $0.19 a share and non-GAAP net income is expected to range between $0.25 and $0.29 a share, it said.

Cash Position

As on Jun. 30, 2014, the company's cash balance stood at $139.47 million, up 32.54 percent or $34.24 million from Jun. 30, 2013.

Debt Position

As on Jun. 30, 2014, the company's total debt stood at $4.58 million, which was 1.18 percent of total assets. 

Shares of Integrated Silicon Solution went down by $0.24 or 1.57 percent to trade at $15.04 on Thursday (10:31AM).