Benzinga | Apr 29, 2021 12:31PM EDT

Silicom Stock Rises On Upbeat Q1 Results, Positive Q2 Guidance, $15M Share Buyback Plan

* Silicom Ltd (NASDAQ: SILC) reported first-quarter FY21 revenue growth of 31% year-on-year to $29 million, beating the analyst estimate of $28.25 million.

* The first quarter was a period of significant growth in revenues and net profit, driven primarily by continued success in each of the target markets, including SD-WAN for smart platforms and Cloud for smart acceleration and FPGA cards, stated CEO Shaike Orbach.

* The Design Win momentum in the 5G O-RAN market has been especially strong, as demonstrated both by the recent strategic wins with top-tier telcos and discussions with numerous telco, cloud, and related OEM players of all sizes, added Orbach.

* Orbach remains optimistic towards growing 5G momentum and continued strength in expanding SD-WAN and Cloud markets fueled by the powerful mobile infrastructure transition.

* Non-GAAP net income rose 30.4% to $3 million. Adjusted EPS of $0.42 beat analyst consensus of $0.35.

* The company held $39.1 million in cash and equivalents. The board has authorized a new one-year share repurchase plan of up to $15 million.

* Guidance: Q2 revenue estimate lies between $29 to $30 million, above the analyst estimate of $27.19 million.

* Price action: SILC shares traded higher by 1.63% at $44.76 on the last check Thursday.