Find companies:

International Rectifier

Job Work/Life Balance
Compensation/Benefits
Job Security/Advancement
Management
Job Culture
44 reviews

About International Rectifier

International Rectifier (IR) is a top maker of power management semiconductors, which refine the electricity flowing into a device from a battery or a power grid, enabling more efficient operation. Its products -- including MOSFETs (metal oxide semiconductor field-effect transistors), diodes, relays, and rectifiers -- are used in appliances, automobiles, – more... computers, communication devices, lighting and displays, gaming consoles, industrial motors, and military equipment. IR sells its products through distributors, OEMs, and contract manufacturers. Most of the global company's sales come from Asian customers.

Operations

IR's largest segment, power management devices, targets power supply, data processing, and industrial and commercial battery-powered system applications. Other segments include energy saving products (industrial automation, lighting and display, audio and video), automotive products (automotive systems), enterprise power (servers, storage, infrastructure, gaming consoles), and HiRel (high-reliability power components for mission-critical applications).

Geographic Reach

Asia accounts for nearly 60% of the company's revenue, with the US and Europe each contributing about 20%. IR reported year-over-year declines across all geographic segments, including 15% in Europe and nearly 10% in both Asia and the US.

Sales and Marketing

IR markets through distributors (about 55% of sales) such as Arrow Electronics and Avnet, as well as directly to OEMs (nearly 40%) and contract manufacturers (more than 5%). Top customers include Flextronics, Jabil, Emerson, Samsung Electronics, Delta Electronics, Delphi Automotive, Boeing, and General Dynamics.

Financial Analysis

After two years of revenue growth, IR reported sales of about $1.1 billion in fiscal 2012 (ended June), down just over 10%. The company experienced a decrease in demand for its products, particularly in the appliance end market in China, the industrial products market in Europe, and the consumer products market worldwide. Its power management devices segment, the largest, fell nearly 20% year-over-year.

Net income also fell sharply as a result, from $167 million in 2011 to a loss of $55 million in 2012. It was also impacted by a goodwill impairment charge of nearly $70 million related to a reduction in forecasted cash flows for the company's enterprise power segment.

Strategy

To address the drop in customer demand, the company has introduced several cost-cutting initiatives. It is turning over more of its wafer fabrication and packaging needs to third-party contractors. As a result it plans to close its El Segundo, California, wafer fabrication plant in 2013 and is resizing its fabrication facility in Wales. IR also anticipates workforce reductions.

Mergers and Acquisitions

The company made its first acquisition in years with a $75 million cash purchase of CHiL Semiconductor in 2011. The addition of the fabless manufacturer of digital power management chips expanded IR's presence in the high-performance computing and graphics segments. In time the company plans for CHiL to expand its capabilities in the server, storage, and notebook computer markets. – less

International Rectifier Employer Reviews

Technical Operator (Former Employee), Temecula, CAJuly 25, 2014
Photolithography Maintenance Technician (Current Employee), Temecula caJune 23, 2014
Quality Control Inspector, Inspection (Current Employee), Leominster, MAJune 13, 2014
Failure Analysis Technician (Former Employee), El Segundo, CA.April 18, 2014
Process Engineer (Former Employee), Tijuana, BCNMarch 26, 2014

International Rectifier Photos

Working at International Rectifier