SAN JOSE, Calif., Feb. 10 /PRNewswire-FirstCall/ -- SiRF Technology Holdings, Inc. (Nasdaq: SIRF), a leading provider of GPS-enabled silicon and premium software location platforms, today reported unaudited financial results for its fourth quarter and year ended December 27, 2008.

Net revenue in the fourth quarter of 2008 was $47.3 million, a decrease of 52.9 percent from $100.4 million reported in the fourth quarter of 2007. Gross margin in the fourth quarter of 2008 was 40.6 percent, as compared to 48.1 percent in the fourth quarter of 2007.

Net loss for the fourth quarter of 2008 was $17.4 million, or ($0.28) per diluted share, based on 62.6 million diluted weighted average shares outstanding. This compares with net income of $0.7 million, or $0.01 per diluted share, based on 64.3 million diluted weighted average shares outstanding in the fourth quarter of 2007.

Net revenue in fiscal 2008 was $232.5 million, a decrease of 29.4 percent from $329.4 million reported in fiscal 2007. Gross margin in fiscal 2008 was 36.3 percent, as compared to 50.9 percent in fiscal 2007.

Net loss for fiscal 2008 was $399.0 million, or ($6.47) per diluted share, based on 61.7 million diluted weighted averages shares outstanding. This compares with net loss of $10.4 million, or ($0.19) per diluted share, based on 55.5 million diluted weighted average shares outstanding in fiscal 2007.

SiRF reports gross profits, net income (loss) and basic and diluted net income (loss) per share in accordance with GAAP and additionally on a non-GAAP basis. Non-GAAP gross profit, where applicable, excludes the effect of stock- based compensation expense, amortization and impairment of acquisition-related intangible assets and fair value adjustments on acquisition-related inventory. Non-GAAP gross profit for the fourth quarter of 2008 was $21.8 million or 46.1% of net revenue, as compared to non-GAAP gross profit of $52.8 million, or 52.6% of net revenue for the fourth quarter of 2007. Non-GAAP net income (loss), where applicable, excludes the effect of stock-based compensation expense, amortization of acquisition-related intangible assets, expenses associated with acquisition-related contingent payments, restructuring charges, note receivable impairment, goodwill impairment, acquisition-related intangible asset impairment, acquired in-process research and development expense, gain on divestiture, release of funds held in escrow in connection with a previous acquisition, fair value adjustments on acquisition-related inventory and adjustments to normalize the income tax provision. Non-GAAP net loss for the fourth quarter of 2008 was $9.8 million, or ($0.16) per diluted share, as compared to non-GAAP net income of $17.7 million, or $0.28 per diluted share for the fourth quarter of 2007. Non-GAAP net loss for the fourth quarter of 2008 excludes $9.1 million in stock-based compensation expense, $3.3 million in amortization of acquisition-related intangible assets, $2.1 million in restructuring charges, $0.9 million in gain on divestiture and $6.0 million in funds released that were held in escrow in connection with a previous acquisition. Non-GAAP net income for the fourth quarter of 2007 excludes $9.9 million in stock-based compensation expense, $6.2 million in amortization of acquisition-related intangible assets, $0.5 million of expenses related to acquisition-related contingent payments and $0.3 million recorded as cost of sales pertaining to fair value adjustments on acquisition-related inventory sold during the quarter. Weighted average shares outstanding used in computing diluted non-GAAP net income per share for the fourth quarter of 2008 were 62.6 million, compared to 64.3 million for the fourth quarter of 2007. Refer to the itemized reconciliation between gross profit and net income (loss) on a GAAP basis and non-GAAP basis for the fourth quarter of 2008 and 2007 as follows.

Non-GAAP gross profit for fiscal 2008 was $110.4 million or 47.5% of net revenue, as compared to non-GAAP gross profit of $178.3 million or 54.1% of net revenue in fiscal 2007. Non-GAAP net loss for fiscal 2008 was $36.2 million, or ($0.59) per diluted share, as compared to non-GAAP net income of $60.0 million, or $0.99 per diluted share for fiscal 2007. Non-GAAP net loss for fiscal 2008 excludes $38.4 million in stock-based compensation expense, $19.1 million in amortization of acquisition-related intangible assets, $0.4 million of expenses related to acquisition-related contingent payments, $3.3 million of restructuring charges, $11.8 million of note receivable impairment, $215.7 million of goodwill impairment, $42.9 million on acquisition-related intangibles impairment, $0.9 million in gain on divestiture, $6.0 million in funds released that were held in escrow in connection with a previous acquisition and $38.1 million of provision for income taxes. Non-GAAP net income for the fiscal 2007 excludes $37.7 million in stock-based compensation expense, $12.8 million in amortization of acquisition-related intangible assets, $2.7 million of expenses related to acquisition-related contingent payments, $13.9 million for acquired in-process research and development expense, $1.9 million recorded as cost of sales pertaining to fair value adjustments on acquisition-related inventory sold during the quarter and $1.4 million of adjustments to normalize the provision for income taxes. Weighted average shares outstanding used in computing diluted non-GAAP net income per share for fiscal 2008 were 61.7 million, compared to 60.7 million for fiscal 2007. Refer to the itemized reconciliation between gross profit and net income (loss) on a GAAP basis and non-GAAP basis for fiscal 2008 and 2007 as follows.

Total cash, cash equivalents and short-term investments were $115.8 million at December 27, 2008, compared with $139.4 million at December 31, 2007.

Quarterly conference call details:

SiRF will host a conference call on February 10, 2009, at approximately 8:00 AM EDT/5:00 AM PDT to discuss its fourth quarter and year ended December 27, 2008 financial results.

This event is available through the SiRF Technology web site at by clicking on the 'Investors' link. Listeners should go to the website at least ten minutes before the event to download and install any necessary audio software. For those unable to attend the live broadcast, an archived version of the webcast will be available for twelve months.

The call can also be heard by dialing (800) 894-5910 (domestic) or (785) 424-1052 (international) and entering the conference id: SIRF. A telephonic replay will also be available approximately 2 hours following the earnings call and will be available for two weeks. The telephone playback of the conference call can be accessed by dialing (800) 374-0934.

About SiRF Technology

SiRF Technology Holdings, Inc. (NASDAQ:SIRF) develops and markets multifunction location platforms based on semiconductor and software products that are designed to enable location-awareness utilizing GPS and other location technologies, enhanced by wireless connectivity and multimedia capabilities, for high-volume mobile consumer devices and commercial applications. SiRF's technology has been integrated into a wide range of mobile consumer devices such as automobile navigation and telematics systems, portable navigation devices (PNDs), mobile phones, mobile computers, mobile internet devices, handheld and wearable GPS recreational devices, digital cameras and camcorders, mobile gaming devices, child and pet trackers, and GPS-based peripherals, as well as into commercial applications such as logistics management systems, enterprise and carrier LBS servers, asset tracking devices, and fleet management systems. For more information see www.sirf.com.

FORWARD-LOOKING STATEMENTS:

Except for purely historical information contained herein, the matters set forth in this press release, including but not limited to statements related to our design win traction, design win momentum, anticipated benefits or success of our current and announced products, potential success of our customers' products, our business outlook and the purposes and benefits to our management and investors of using non-GAAP measures and the recurrence of certain expenses in the future are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as 'to,' 'being,' 'possible,' 'may,' 'address,' 'designed to,' 'provide,' 'anticipate,' 'believe,' 'expect,' 'plan,' 'will,' and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and reported results should not be considered as an indication of future performance. SiRF's actual results could differ materially from those discussed in these forward-looking statements as a result of risks and uncertainties, including, among others, the market for GPS-based location awareness capabilities, our ability to keep pace with rapid technological change, the outcome of our litigation (including any final ITC order), trends and uncertainties with respect to consumer demand, the macroeconomic environment and the semiconductor industry, global market and economy volatility, international operations and our ability to compete, and other risks and uncertainties discussed in the Company's Quarterly Report on Form 10-Q for the quarter ended September 27, 2008 and from time to time in SiRF's SEC reports.