Taiwan-based GigaMedia (GIGM) has announced its fifth consecutive quarter of profitability, with Q2 2005 consolidated net income of $1.2 million, up 119% from the same period of 2004 and an increase of 20% over the first quarter of 2005.
The increase in the company's consolidated net profit was driven by strong performance in GigaMedia's entertainment software business, but limited by a loss in the company's music distribution unit, which faced continuing operating pressures.
In light of the challenges facing the music retail sector, the company has decided to explore the sale of its music distribution business and has entered formal discussions with potential purchasers.
Consolidated revenues for the second quarter of 2005 were $21.9 million, an 8% decrease from consolidated revenues of $24.0 million for the corresponding period in 2004 and a 14% decrease compared to consolidated revenues of $25.6 million for the preceding quarter.
Consolidated net income for the second quarter of 2005 was $1.2 million, a 119% increase from consolidated net income of $559000 for the same period in 2004 and an increase of $200000, or 20%, from consolidated net income of $1.0 million for the preceding quarter.
Cash, cash equivalents and marketable securities-current at the end of the second quarter of 2005 totaled $49.8 million, an increase of $3.3 million, or 7% quarter-over-quarter.