Company: CRUS
Filing Date: 2025-02-04
Form Type: 10-Q
Source: 0000772406-25-000007
Chunk: 12

Company: CIRRUS LOGIC, INC.
Filing Date: 2025-02-04
Form: 10-Q
Item: Item 2
Chunk 12
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5, due in part to the third quarter of fiscal year 2024 encompassing one week more of the higher-volume production associated with typical seasonal product ramps and the additional week of revenue as part of a 53-week fiscal year.  This decrease was partially offset by increased revenue associated with latest-generation products.  Net sales from HPMS products decreased $30.9 million for the quarter versus the third quarter of fiscal year 2024, primarily due to lower smartphone unit volumes, partially offset by revenue associated with latest-generation products.    

Net sales for the first nine months of fiscal year 2025 increased $54.6 million, or 4 percent, to $1.5 billion from $1.4 billion for the first nine months of fiscal year 2024.  Net sales from our audio products increased $24.6 million, primarily driven by sales associated with latest-generation products and higher smartphone unit volumes, partially offset by lower general market sales.  Net sales from HPMS products increased $30.0 million for the year versus the first nine months of fiscal year 2024, primarily due to higher content in smartphones and sales associated with latest-generation products, partially offset by lower general market sales.  

International sales, including sales to U.S.-based end customers that manufacture products through contract manufacturers or plants located overseas, were approximately 99 percent of net sales for the third quarters of fiscal years 2025 and 2024, and for each of the first nine month periods of fiscal years 2025 and 2024.  Our sales are denominated primarily in U.S. dollars. 

Since the components we produce are largely proprietary, we consider our end customer to be the entity specifying the use of our component in their design.  These end customers may purchase our products directly from us, through distributors, or third-party manufacturers contracted to produce their designs.  For each of the third quarters of fiscal years 2025 and 2024, our ten largest end customers represented approximately 96 percent, of our net sales, and 96 percent and 95 percent of our net sales for the first nine months of fiscal years 2025 and 2024, respectively.       

We had one end customer, Apple Inc., that purchased through multiple contract manufacturers and represented approximately 91 percent and 89 percent of the Company’s total net sales for the third quarter of fiscal years 2025 and 2024, respectively, and 90 percent and 87 percent for the first nine months of fiscal years