WARREN, NJ, Oct. 27, 2009 (Marketwire) --

WARREN, NJ -- (Marketwire) -- 10/27/09 -- ANADIGICS, Inc. (NASDAQ: ANAD), a leading provider of semiconductor solutions in the broadband wireless and wireline communications markets, reported third quarter 2009 net sales of $36.7 million, an increase of 16.7% sequentially and a decrease of 36.8% from the third quarter of 2008. As of October 3, 2009, cash, cash equivalents and short and long-term marketable securities totaled $123.4 million. On October 15, 2009, the Company repaid $38.0 million upon the maturity of our Convertible Notes.

GAAP net loss for the third quarter of 2009 was $12.9 million, or ($0.21) per share. Non-GAAP net loss for the third quarter of 2009 was $6.4 million, or ($0.10) per share. Non-GAAP financial measures exclude charges of $3.9 million or ($0.06) per share associated with a settlement on October 26, 2009 of a commercial dispute with a customer, $2.9 million, or ($0.05) per share associated with stock-based compensation and a tax refund of $0.3 million. The details of the Non-GAAP adjustments are available in the accompanied financial schedules.

"Our positive third quarter results are evidence of the successful execution on our stated business initiatives, resulting in revenue and non-GAAP loss per share exceeding our guidance. Our revenue during the quarter benefited from continued growth in our 3G wireless products as well as an earlier than expected recovery in both our cable TV and WLAN revenue," remarked Mario Rivas, President and Chief Executive Officer of ANADIGICS. "Our commitment to operational excellence has enabled us to maintain high performance metrics at our Fab in Warren, NJ. We recently announced our foundry agreement with WIN Semiconductors, which is a key element of our hybrid manufacturing strategy and is expected to provide expanded production capabilities by the fourth quarter 2010 to ensure fulfillment of future demand. Additionally, with an unprecedented number of new products in our development pipeline, I am confident that we are well positioned for growth in the coming year."

Outlook for the Fourth Quarter 2009

Net sales for the fourth quarter of 2009 are estimated to increase sequentially over the third quarter of 2009 by approximately 5% to 8%. Net loss per share on a GAAP basis for the fourth quarter is expected to be approximately ($0.16) to ($0.18). Non-GAAP loss per share, excluding non-cash stock compensation and management separation expense, is expected to be approximately ($0.08) to ($0.10).

The statements regarding the Company's anticipated future performance are forward looking and actual results may differ materially. Please see safe harbor statement at the end of this press release.

This press release includes financial measures that are not in accordance with GAAP, consisting of non-GAAP net income or loss and non-GAAP income or loss per share. Management uses non-GAAP net income or loss and non-GAAP income or loss per share to evaluate the company's operating and financial performance in light of business objectives, for planning purposes, when publicly providing our business outlook and to facilitate period-to-period comparisons. ANADIGICS believes that these measures are useful to investors because they enhance investors' ability to review the company's business from the same perspective as the company's management and facilitate comparisons of this period's results with prior periods. These non-GAAP measures exclude charges related to stock-based compensation, restructuring charges, impairment of marketable securities, the refund of certain R&D tax credits and non-comparative charges in 2008 and 2009 resulting from the settlement of a commercial dispute with a customer, management separations, cancelations and impairments on equipment and inventory reserves associated with reduced demand. Non-GAAP measures are used by some investors when assessing the ongoing operating and financial performance of our Company. These financial measures are not in accordance with GAAP and may differ from non-GAAP methods of accounting and reporting used by other companies. Management acknowledges that stock-based compensation is a recurring cost and is an important part of our employee's compensation and impacts their performance. However the expense is non-cash in nature and there are various valuation methodologies and assumptions used in determining stock-based compensation that may be unrelated to operations, such as volatility and current interest rates. The presentation of the additional information should not be considered a substitute for net income or loss or income or loss per share prepared in accordance with GAAP. The primary material limitations associated with the use of non-GAAP measures as compared to the most directly comparable GAAP financial measures are (i) they may not be comparable to similarly titled measures used by other companies in ANADIGICS industry, and (ii) they exclude financial information that some may consider important in evaluating our performance.

Limitations of non-GAAP financial measures. The primary material limitations associated with the use of non-GAAP measures as compared to the most directly comparable GAAP financial measures are (i) they may not be comparable to similarly titled measures used by other companies in ANADIGICS industry, and (ii) they exclude financial information that some may consider important in evaluating our performance.