+ Cypress announced key developments in its Wireless Connectivity solutions during the quarter. The introduction of its ModusToolbox™ software suite empowers developers with an intuitive platform designed to create winning IoT products in record time. The new Raspberry Pi 3 Model B+ developers board debuted featuring Cypress’ 802.11ac combo solution to deliver reliable, interoperable and lightning-fast Wi-Fi^® connectivity for developers eager to bring their great Internet of Things (IoT) products to life.

+ In the automotive space, Cypress introduced Excelon™, a family of high-performance nonvolatile memory products to solve mission-critical data logging problems for applications such as Advanced Driver-Assistance Systems (ADAS). Cypress also announced that e.solutions GmbH, a joint venture of Audi and Elektrobit, has integrated Cypress’ wireless connectivity solution into its design for new in-vehicle communication units, including in the 2018 Audi A8. The solution is based on Cypress’ Real Simultaneous Dual Band (RSDB) automotive-grade Wi-Fi and Bluetooth^® combo solution, which enables multiple users to connect and stream unique content to their individual devices simultaneously.

+ Cypress also expanded its sensing solutions with the new PSoC^® 4700S series of microcontrollers (MCUs) that uses inductive sensing to detect inputs on metal surfaces. The devices allow product developers to achieve aesthetic differentiation by using metallic materials in their designs.

+ Cypress paid a cash dividend of $39.4 million, or $0.11 per share, to holders of record of the Company’s common stock as of the close of business on March 29, 2018 and paid on April 19, 2018. The dividend was equivalent to a 2.6% annualized yield as of March 29, 2018.

REVENUE SUMMARY
(In thousands, except percentages)
(Unaudited)
			Three Months Ended
			April 1,					December 31,					April 2,				Sequential				Year-over-
			2018					2017					2017				Change				year Change
Business Unit
MCD			$	336,710				$	357,247				317,901				(6	)%			6	%
MPD			$	245,531				$	240,300				213,973				2	%			15	%
Total			$	582,241				$	597,547				531,874				(3	)%			9	%
End Market
Industrial				18	%				17	%			20	%			2	%			(1	)%
Automotive				34	%				30	%			33	%			11	%			15	%
Consumer				31	%				35	%			34	%			(13	)%			—	%
Enterprise				17	%				18	%			13	%			(10	)%			37	%
Total				100	%				100	%			100	%			—	%			—	%

1.		The Microcontroller and Connectivity Division ("MCD") includes microcontroller, connectivity and USB products and the Memory Products Division ("MPD") includes RAM, Flash and AgigA Tech products.

SECOND QUARTER 2018 FINANCIAL OUTLOOK