SOURCE: QuickLogic

QuickLogic

May 01, 2013 16:00 ET

QuickLogic Announces Fiscal 2013 First Quarter Results

SUNNYVALE, CA--(Marketwired - May 1, 2013) - QuickLogic Corporation (NASDAQ: QUIK), the innovator of ultra-low-power Customer Specific Standard Products (CSSPs), today announced the financial results for its fiscal first quarter ended March 31, 2013.

Total revenue for the first quarter of 2013 was $3.0 million, down 2% from the fourth quarter of 2012 and down 27% from the first quarter of 2012. During the first quarter, new product revenue decreased 6% to $941,000 from $1.0 million in the fourth quarter of 2012. New product revenue accounted for 31% of the total revenue in the first quarter. During the first quarter, mature product revenue remained flat at $2.1 million sequentially. Mature product revenue accounted for 69% of the total revenue in the first quarter.

Under generally accepted accounting principles (GAAP), the net loss for the first quarter of 2013 was $3.6 million, or $0.08 per share, compared with a net loss of $2.6 million, or $0.06 per share, in the fourth quarter of 2012 and a net loss of $3.7 million, or $0.10 per share, in the first quarter of 2012. Non-GAAP net loss for the first quarter of 2013 was $3.1 million, or $0.07 per share, compared with a non-GAAP net loss of $2.0 million, or $0.04 per share, in the fourth quarter of 2012 and a non-GAAP net loss of $3.3 million, or $0.09 per share, in the first quarter of 2012.

 "New product revenue in the first quarter was lower than expected due to a delay in the receipt of an expected large order from a tier one consumer electronics company. This order has since been received and we are on track to meet our forecast for the first half of the year," stated Andy Pease, QuickLogic's President and CEO.

Conference Call

QuickLogic will hold a conference call at 2:30 p.m. Pacific Daylight Time today, May 1, 2013, to discuss its current financial results. The conference call is being webcast and can be accessed via QuickLogic's website at http://ir.quicklogic.com/events.cfm. To join the live conference, please dial (877) 377-7094 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 (404) 537-3406 and reference the passcode: 41216066. The call recording will be archived until Wednesday, May 8, 2013, 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 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 new product revenue meeting forecast for the first half of the year, 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.

Note to Editors: Financial Tables Follow

 
 
QUICKLOGIC CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)
       
    Three Months Ended  
    March 31, 2013     April 1, 2012     December 30, 2012  
                   
Revenue   $ 3,017     $ 4,130     $ 3,086  
Cost of revenue, excluding inventory write-down     1,643       2,042       1,546  
Inventory write-down     343       329       19  
      1,031       1,759       1,521  
Gross profit                        
Operating expenses:                        
  Research and development     2,008       2,802       1,624  
  Selling, general and administrative     2,530       2,697       2,377  
  Restructuring cost     7       -       -  
                         
Income (loss) from operations     (3,514 )     (3,740 )     (2,480 )
Interest expense     (9 )     (13 )     (12 )
Interest income and other (expense), net     (4 )     (13 )     (32 )
                         
Income (loss) before income taxes     (3,527 )     (3,766 )     (2,524 )
Provision for (benefit from) income taxes     57       (45 )     35  
                         
Net income (loss)   $ (3,584 )   $ (3,721 )   $ (2,559 )
                         
Net income (loss) per share:                        
  Basic   $ (0.08 )   $ (0.10 )   $ (0.06 )
  Diluted   $ (0.08 )   $ (0.10 )   $ (0.06 )
                         
Weighted average shares:                        
  Basic     44,517       38,495       44,400  
  Diluted     44,517       38,495       44,400  
                           
                           
 
 
QUICKLOGIC CORPORATION
SUPPLEMENTAL RECONCILIATIONS OF GAAP AND NON-GAAP FINANCIAL MEASURES
(In thousands, except per share amounts)
(Unaudited)
 
    Three Months Ended  
    March 31, 2013     April 1, 2012     December 30, 2012  
GAAP income (loss) from operations   $ (3,514 )   $ (3,740 )   $ (2,480 )
  Adjustment for stock-based compensation within:                        
    Cost of revenue     30       32       39  
    Research and development     166       93       116  
    Selling, general and administrative     256       259       429  
  Adjustment for restructuring costs     7       -       -  
Non-GAAP income (loss) from operations   $ (3,055 )   $ (3,356 )   $ (1,896 )
                         
GAAP net income (loss)   $ (3,584 )   $ (3,721 )   $ (2,559 )
  Adjustment for stock-based compensation within:                        
    Cost of revenue     30       32       39  
    Research and development     166       93       116  
    Selling, general and administrative     256       259       429  
  Adjustment for restructuring costs     7       -       -  
Non-GAAP net income (loss)   $ (3,125 )   $ (3,337 )   $ (1,975 )
                         
GAAP net income (loss) per share   $ (0.08 )   $ (0.10 )   $ (0.06 )
  Adjustment for stock-based compensation     0.01       0.01       0.02  
  Adjustment for restructuring costs     *       -       -  
Non-GAAP net income (loss) per share   $ (0.07 )   $ (0.09 )   $ (0.04 )
                         
GAAP gross margin percentage     34.2 %     42.6 %     49.3 %
  Adjustment for stock-based compensation     1.0 %     0.8 %     1.3 %
  Adjustment for restructuring costs     *       -       -  
Non-GAAP gross margin percentage     35.2 %     43.4 %     50.6 %
                         
* Figures were not considered in the reconciliation due to the insignificant amount.
 
 
 
 
QUICKLOGIC CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
(Unaudited)
 
  March 31, 2013   December 30, 2012(1)  
ASSETS        
         
Current assets:            
  Cash and cash equivalents $ 19,659   $ 22,578  
  Short-term investment in TowerJazz Semiconductor Ltd.   303     345  
  Accounts receivable, net   1,392     1,242  
  Inventories   2,525     3,028  
  Other current assets   846     986  
    Total current assets   24,725     28,179  
Property and equipment, net   2,404     2,659  
Other assets   207     186  
             
TOTAL ASSETS $ 27,336   $ 31,024  
             
LIABILITIES AND STOCKHOLDERS' EQUITY            
             
Current liabilities:            
  Trade payables $ 1,393   $ 1,965  
  Accrued liabilities   1,289     1,214  
  Current portion of capital lease obligations   239     160  
             
    Total current liabilities   2,921     3,339  
             
Long-term liabilities:            
  Capital lease obligations, less current portion   135     266  
  Other long-term liabilities   167     141  
             
    Total liabilities   3,223     3,746  
             
Stockholders' equity:            
  Common stock, at par value   45     45  
  Additional paid-in capital   205,259     204,797  
  Accumulated other comprehensive income   (54 )   (11 )
  Accumulated deficit   (181,137 )   (177,553 )
    Total stockholders' equity   24,113     27,278  
             
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 27,336   $ 31,024  
             
(1)   Derived from the December 30, 2012 audited balance sheet included in the 2012 Annual Report on Form 10-K of QuickLogic Corporation.
     
     
 
 
QUICKLOGIC CORPORATION
 SUPPLEMENTAL DATA
(Unaudited)
 
    Percentage of Revenue   Change in Revenue
    Q1
2013
  Q1
2012
  Q4
2012
  Q1 2012 to
Q1 2013
  Q4 2012 to
Q1 2013
COMPOSITION OF REVENUE                    
Revenue by product (1):                    
  New products   31%   40%   33%   (43)%   (6)%
  Mature products   69%   60%   67%   (17)%   0%
                     
Revenue by geography:                    
  United States   31%   32%   41%   (28)%   (25)%
  Malaysia   23%   15%   11%   13%   95%
  Japan   20%   21%   21%   (32)%   (9)%
  Europe   15%   12%   20%   (7)%   (26)%
  Rest of North America   6%   2%   4%   65%   66%
  China   4%   12%   3%   (74)%   32%
  Rest of Asia Pacific   1%   6%   0%   (86)%   236%
                       
(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