SOURCE: QuickLogic

QuickLogic

May 01, 2012 16:00 ET

QuickLogic Announces Fiscal 2012 First Quarter Results

SUNNYVALE, CA--(Marketwire - May 1, 2012) - QuickLogic Corporation (NASDAQ: QUIK), the lowest power Customer Specific Standard Products (CSSPs) leader, today announced the financial results for its fiscal first quarter ended April 1, 2012.

Total revenue for the first quarter of 2012 was $4.1 million, down 5% from the fourth quarter of 2011 and down 26% from the first quarter of 2011. During the first quarter, new product revenue decreased to $1.6 million from $1.7 million in the fourth quarter of 2011. New product revenue accounted for 40% of the total revenue in the first quarter. During the first quarter, mature product revenue decreased 6% to $2.5 million from $2.7 million in the fourth quarter of 2011, accounting for 60% of the total revenue in the first quarter.

Under generally accepted accounting principles (GAAP), the net loss for the first quarter of 2012 was $3.7 million, or $0.10 per share, compared with a net loss of $3.1 million, or $0.08 per share, in the fourth quarter of 2011 and a net loss of $0.9 million, or $0.02 per share, in the first quarter of 2011. Non-GAAP net loss for the first quarter of 2012 was $3.3 million, or $0.09 per share, compared with a non-GAAP net loss of $2.7 million, or $0.07 per share, in the fourth quarter of 2011 and a non-GAAP net loss of $0.4 million, or $0.01 per share, in the first quarter of 2011.

Conference Call

QuickLogic will hold a conference call at 2:30 p.m. Pacific Daylight Time today, May 1, 2012, to discuss its current financial results. The conference call is being webcast and can be accessed via QuickLogic's website at www.quicklogic.com. To join the live conference, please dial (877) 392-9881 by 2:20 p.m. Pacific Daylight Time today. A recording of the call will be available starting one hour after completion of the call. To access the recording, please call (855) 859-2056 and reference the passcode: 70748323. The call recording will be archived until Tuesday, May 8, 2012, and the webcast will be available for 12 months.

About QuickLogic

QuickLogic Corporation (NASDAQ: QUIK) is the inventor and pioneer of innovative, customizable semiconductor solutions for mobile and portable electronics original equipment manufacturers (OEMs) and original design manufacturers (ODMs). These silicon plus software solutions are called Customer Specific Standard Products (CSSPs). CSSPs enable our customers to bring their products to market more quickly and remain in the market longer, with the low power, cost and size demanded by the mobile and portable electronics market. For more information about QuickLogic and CSSPs, visit www.quicklogic.com. Code: QUIK-G

Non-GAAP Financial Measures

QuickLogic reports financial information in accordance with GAAP, but believes that non-GAAP financial measures are helpful in evaluating its operating results and comparing its performance to comparable companies. Accordingly, the Company excludes charges related to stock-based compensation, restructuring, the write-down of the Company's investment in TowerJazz Semiconductor Ltd., the effect of the write-off of long-lived assets and the tax effect on other comprehensive income in calculating non-GAAP (i) income (loss) from operations, (ii) net income (loss), (iii) net income (loss) per share, and (iv) gross margin percentage. The Company provides this non-GAAP information to enable investors to evaluate its operating results in a manner similar to how the Company analyzes its operating results and to provide consistency and comparability with similar companies in the Company's industry.

Management uses the non-GAAP measures, which exclude gains, losses and other charges that are considered by management to be outside of the Company's core operating results, internally to evaluate its operating performance against results in prior periods and its operating plans and forecasts. In addition, the non-GAAP measures are used to plan for the Company's future periods, and serve as a basis for the allocation of Company resources, management of operations and the measurement of profit-dependent cash and equity compensation paid to employees and executive officers.

Investors should note, however, that the non-GAAP financial measures used by QuickLogic may not be the same non-GAAP financial measures, and may not be calculated in the same manner, as that of other companies. QuickLogic does not itself, nor does it suggest that investors should, consider such non-GAAP financial measures alone or as a substitute for financial information prepared in accordance with GAAP. A reconciliation of GAAP financial measures to non-GAAP financial measures is included in the financial statements portion of this press release. Investors are encouraged to review the related GAAP financial measures and the reconciliation of non-GAAP financial measures with their most directly comparable GAAP financial measures.

Safe Harbor Statement Under The Private Securities Litigation Reform Act of 1995

This press release contains forward-looking statements relating to the revenue generating potential of new products, which is dependent on the market acceptance of our products and the level of customer orders. Actual results could differ materially from the results described in these forward-looking statements. Factors that could cause actual results to differ materially include: delays in the market acceptance of the Company's new products; the ability to convert design opportunities into customer revenue; our ability to replace revenue from end-of-life products; the level and timing of customer design activity; the market acceptance of our customers' products; the risk that new orders may not result in future revenue; our ability to introduce and produce new products based on advanced wafer technology on a timely basis; our ability to adequately market the low power, competitive pricing and short time-to-market of our new products; intense competition, including the introduction of new products by competitors; our ability to hire and retain qualified personnel; changes in product demand or supply; capacity constraints; and general economic conditions. These factors and others are described in more detail in the Company's public reports filed with the Securities and Exchange Commission, including the risks discussed in the "Risk Factors" section in the Company's Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and in the Company's prior press releases.

ArcticLink, pASIC, PolarPro, QuickLogic, QuickPCI and QuickRAM are registered trademarks and Eclipse and the QuickLogic logo are trademarks of QuickLogic Corporation. All other brands or trademarks are the property of their respective holders and should be treated as such.

QUICKLOGIC CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
Three Months Ended
April 1, 2012 April 3, 2011 January 1, 2012
Revenue $ 4,130 $ 5,547 $ 4,346
Cost of revenue, excluding inventory write-down and related charges and long-lived asset impairment 2,042 1,821 2,181
Inventory write-down and related charges 329 118 148
Gross profit 1,759 3,608 2,017
Operating expenses:
Research and development 2,802 1,803 2,450
Selling, general and administrative 2,697 2,607 2,548
Income (loss) from operations (3,740 ) (802 ) (2,981 )
Interest expense (13 ) (8 ) (5 )
Interest income and other (expense), net (13 ) (4 ) (93 )
Income (loss) before income taxes (3,766 ) (814 ) (3,079 )
Provision for (benefit from) income taxes (45 ) 64 31
Net income (loss) $ (3,721 ) $ (878 ) $ (3,110 )
Net income (loss) per share:
Basic $ (0.10 ) $ (0.02 ) $ (0.08 )
Diluted $ (0.10 ) $ (0.02 ) $ (0.08 )
Weighted average shares:
Basic 38,495 36,495 38,482
Diluted 38,495 36,495 38,482
QUICKLOGIC CORPORATION
SUPPLEMENTAL RECONCILIATIONS OF GAAP AND NON-GAAP FINANCIAL MEASURES
(In thousands, except per share amounts)
Three Months Ended
April 1, 2012 April 3, 2011 January 1, 2012
GAAP income (loss) from operations $ (3,740 ) $ (802 ) $ (2,981 )
Adjustment for stock-based compensation within:
Cost of revenue 32 35 27
Research and development 93 121 104
Selling, general and administrative 259 287 254
Non-GAAP income (loss) from operations $ (3,356 ) $ (359 ) $ (2,596 )
GAAP net income (loss) $ (3,721 ) $ (878 ) $ (3,110 )
Adjustment for stock-based compensation within:
Cost of revenue 32 35 27
Research and development 93 121 104
Selling, general and administrative 259 287 254
Non-GAAP net income (loss) $ (3,337 ) $ (435 ) $ (2,725 )
GAAP net income (loss) per share $ (0.10 ) $ (0.02 ) $ (0.08 )
Adjustment for stock-based compensation 0.01 0.01 0.01
Non-GAAP net income (loss) per share $ (0.09 ) $ (0.01 ) $ (0.07 )
GAAP gross margin percentage 42.6 % 65.0 % 46.4 %
Adjustment for stock-based compensation 0.8 0.6 0.6
Non-GAAP gross margin percentage 43.4 % 65.6 % 47.0 %
QUICKLOGIC CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
(Unaudited)
April 1, 2012 January 1, 2012 (1)
ASSETS
Current assets:
Cash and cash equivalents $ 17,223 $ 20,203
Short-term investment in TowerJazz Semiconductor Ltd. 567 406
Accounts receivable, net 1,660 1,585
Inventories 3,117 3,764
Other current assets 1,049 613
Total current assets 23,616 26,571
Property and equipment, net 2,812 2,181
Other assets 231 211
TOTAL ASSETS $ 26,659 $ 28,963
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Trade payables $ 2,411 $ 2,464
Accrued liabilities 1,417 1,118
Deferred royalty revenue - 8
Current portion of capital lease obligations 411 141
Total current liabilities 4,239 3,731
Long-term liabilities:
Capital lease obligations, less current portion 506 146
Other long-term liabilities 139 148
Total liabilities 4,884 4,025
Stockholders' equity:
Common stock, at par value 39 39
Additional paid-in capital 190,485 190,025
Accumulated other comprehensive income 211 113
Accumulated deficit (168,960 ) (165,239 )
Total stockholders' equity 21,775 24,938
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 26,659 $ 28,963
(1) Derived from the January 1, 2012 audited balance sheet included in the 2011 Annual Report on Form 10-K of QuickLogic Corporation.
QUICKLOGIC CORPORATION
SUPPLEMENTAL DATA
(Unaudited)
Percentage of Revenue Change in Revenue
Q1 2012 Q1 2011 Q4 2011 Q1 2011 to Q1 2012 Q4 2011 to Q1 2012
COMPOSITION OF REVENUE
Revenue by product (1):
New products 40% 22% 39% 34% (3)%
Mature products 60% 78% 61% (42)% (6)%
Revenue by geography:
United States 32% 50% 43% (53)% (30)%
Japan 21% 10% 22% 53% (8)%
Malaysia 15% 9% 6% 27% 120%
China 12% 14% 13% (34)% (8)%
Europe 12% 13% 9% (33)% 23%
Rest of Asia Pacific 6% 3% 5% 49% 4%
Rest of North America 2% 1% 2% 26% 55%
(1) New products represent products introduced since 2005, and include ArcticLink®, ArcticLink II, ArcticLink III, Eclipse™ II, PolarPro®, PolarPro II, and QuickPCI® II. Mature products include Eclipse, EclipsePlus, pASIC® 1, pASIC 2, pASIC 3, QuickFC, QuickMIPS, QuickPCI, QuickRAM®, and V3, as well as royalty revenue, programming hardware and software.

Contact Information

  • Contacts:

    Ralph S. Marimon
    Vice President of Finance
    Chief Financial Officer
    (408) 990-4000
    Email Contact

    Andrea Vedanayagam
    (408) 656-4494
    Email Contact