SUNNYVALE, CA--(Marketwire - Feb 7, 2012) - QuickLogic Corporation (
Total revenue for the fourth quarter of 2011 was $4.3 million, down 19% sequentially and down 38% from the fourth quarter of 2010. During the fourth quarter, new product revenue of $1.7 million was up 39% sequentially and down 25% from the fourth quarter of 2010.
Under generally accepted accounting principles (GAAP), the net loss for the fourth quarter of 2011 was $3.1 million or $0.08 per diluted share, compared with a net loss of $1.5 million, or $0.04 per diluted share, in the third quarter of 2011, and a net loss of $69,000, or $0.00 per diluted share, in the fourth quarter of 2010. Non-GAAP net loss for the fourth quarter of 2011 was $2.7 million, or $0.07 per diluted share, compared with a non-GAAP net loss of $1.0 million, or $0.03 per diluted share, in the third quarter of 2011, and a non-GAAP net income of $496,000, or $0.01 per diluted share, in the fourth quarter of 2010.
Total Revenue for 2011 was down 20% to $21.0 million, compared with revenue of $26.2 million in 2010. GAAP net loss for 2011 was $7.6 million, or $0.21 per diluted share, compared with a net income of $123,000, or $0.00 per diluted share, in 2010. Non-GAAP net loss for 2011 was $5.8 million, or $0.16 per diluted share, compared with a non-GAAP net income of $1.3 million, or $0.03 per diluted share, in 2010.
Conference Call
QuickLogic will hold a conference call at 2:30 p.m. Pacific Standard Time today, February 7, 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) 377-7094 by 2:20 p.m. Pacific Standard 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: 46017221. The call recording will be archived until Friday, February 10, 2012 and the webcast will be available for 12 months.
About QuickLogic
QuickLogic Corporation (
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) (Unaudited) |
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| Three Months Ended | Year Ended | ||||||||||||||||||||
| January 1, 2012 | January 2, 2011 | October 2, 2011 | January 1, 2012 | January 2, 2011 | |||||||||||||||||
| Revenue | $ | 4,346 | $ | 6,958 | $ | 5,339 | $ | 20,969 | $ | 26,199 | |||||||||||
| Cost of revenue, excluding inventory write-down and related charges and long-lived asset impairment | 2,181 | 2,283 | 1,897 | 7,807 | 9,498 | ||||||||||||||||
| Inventory write-down and related charges | 148 | 21 | 386 | 710 | 111 | ||||||||||||||||
| Gross profit | 2,017 | 4,654 | 3,056 | 12,452 | 16,590 | ||||||||||||||||
| Operating expenses: | |||||||||||||||||||||
| Research and development | 2,450 | 2,048 | 2,271 | 9,836 | 7,458 | ||||||||||||||||
| Selling, general and administrative | 2,548 | 2,685 | 2,267 | 9,965 | 10,073 | ||||||||||||||||
| Income (loss) from operations | (2,981 | ) | (79 | ) | (1,482 | ) | (7,349 | ) | (941 | ) | |||||||||||
| Gain on sale of TowerJazz Semiconductor Ltd. shares | - | - | 993 | ||||||||||||||||||
| Interest expense | (5 | ) | (10 | ) | (5 | ) | (36 | ) | (67 | ) | |||||||||||
| Interest income and other (expense), net | (93 | ) | - | (49 | ) | (159 | ) | (46 | ) | ||||||||||||
| Income (loss) before income taxes | (3,079 | ) | (89 | ) | (1,536 | ) | (7,544 | ) | (61 | ) | |||||||||||
| Provision for (benefit from) income taxes | 31 | (20 | ) | 10 | 50 | (184 | ) | ||||||||||||||
| Net income (loss) | $ | (3,110 | ) | $ | (69 | ) | $ | (1,546 | ) | $ | (7,594 | ) | $ | 123 | |||||||
| Net income (loss) per share: | |||||||||||||||||||||
| Basic | $ | (0.08 | ) | $ | (0.00 | ) | $ | (0.04 | ) | $ | (0.21 | ) | $ | 0.00 | |||||||
| Diluted | $ | (0.08 | ) | $ | (0.00 | ) | $ | (0.04 | ) | $ | (0.21 | ) | $ | 0.00 | |||||||
| Weighted average shares: | |||||||||||||||||||||
| Basic | 38,482 | 36,228 | 38,418 | 36,792 | 35,729 | ||||||||||||||||
| Diluted | 38,482 | 36,228 | 38,418 | 36,792 | 39,038 | ||||||||||||||||
| QUICKLOGIC CORPORATION SUPPLEMENTAL RECONCILIATIONS OF GAAP AND NON-GAAP FINANCIAL MEASURES (In thousands, except per share amounts) (Unaudited) |
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| Three Months Ended | Years Ended | |||||||||||||||||||||
| January 1, 2012 | January 2, 2011 | October 2, 2011 | January 1, 2012 | January 2, 2011 | ||||||||||||||||||
| GAAP loss from operations | $ | (2,981 | ) | $ | (79 | ) | $ | (1,482 | ) | $ | (7,349 | ) | $ | (941 | ) | |||||||
| Adjustment for stock-based compensation within: | ||||||||||||||||||||||
| Cost of revenue | 27 | 49 | 34 | 131 | 169 | |||||||||||||||||
| Research and development | 104 | 143 | 114 | 458 | 645 | |||||||||||||||||
| Selling, general and administrative | 254 | 373 | 264 | 1,087 | 1,604 | |||||||||||||||||
| Adjustment for the write-off of equipment within: | ||||||||||||||||||||||
| Selling, general and administrative | - | - | 102 | 102 | - | |||||||||||||||||
| Non-GAAP loss from operations | $ | (2,596 | ) | $ | 486 | $ | (968 | ) | $ | (5,571 | ) | $ | 1,477 | |||||||||
| GAAP net loss | $ | (3,110 | ) | $ | (69 | ) | $ | (1,546 | ) | $ | (7,594 | ) | $ | 123 | ||||||||
| Adjustment for stock-based compensation within: | ||||||||||||||||||||||
| Cost of revenue | 27 | 49 | 34 | 131 | 169 | |||||||||||||||||
| Research and development | 104 | 143 | 114 | 458 | 645 | |||||||||||||||||
| Selling, general and administrative | 254 | 373 | 264 | 1,087 | 1,604 | |||||||||||||||||
| Adjustment for the write-off of equipment within: | ||||||||||||||||||||||
| Selling, general and administrative | - | - | 102 | 102 | 8 | |||||||||||||||||
| Adjustment for write-down of investment in Tower Semiconductor Ltd. | - | - | - | - | (993 | ) | ||||||||||||||||
| Adjustment for tax effect on other comprehensive income | - | - | - | - | (209 | ) | ||||||||||||||||
| Non-GAAP net loss | $ | (2,725 | ) | $ | 496 | $ | (1,032 | ) | $ | (5,816 | ) | $ | 1,347 | |||||||||
| GAAP net loss per share | $ | (0.08 | ) | $ | 0.00 | $ | (0.04 | ) | $ | (0.21 | ) | $ | 0.00 | |||||||||
| Adjustment for stock-based compensation | 0.01 | 0.01 | 0.01 | 0.05 | 0.06 | |||||||||||||||||
| Adjustment for write-off of equipment | - | - | * | * | * | |||||||||||||||||
| Adjustment for write-down of investment in Tower Semiconductor Ltd. | - | - | - | - | (0.02 | ) | ||||||||||||||||
| Adjustment for tax effect on other comprehensive income | - | - | - | - | (0.01 | ) | ||||||||||||||||
| Non-GAAP net loss per share | $ | (0.07 | ) | $ | 0.01 | $ | (0.03 | ) | $ | (0.16 | ) | $ | 0.03 | |||||||||
| GAAP gross margin percentage | 46.4 | % | 66.9 | % | 57.2 | % | 59.4 | % | 63.3 | % | ||||||||||||
| Adjustment for stock-based compensation | 0.6 | 0.7 | 0.7 | 0.6 | 0.7 | |||||||||||||||||
| Adjustment for write-off of equipment | - | - | * | * | * | |||||||||||||||||
| Non-GAAP gross margin percentage | 47.0 | % | 67.6 | % | 57.9 | % | 60.0 | % | 64.0 | % | ||||||||||||
* Figures were not considered in the reconciliation of Non-GAAP net loss per share due to the insignificant amount.
| QUICKLOGIC CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands) (Unaudited) |
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| January 1, 2012 | January 2, 2011 | |||||||||
| ASSETS | ||||||||||
| Current assets: | ||||||||||
| Cash and cash equivalents | $ | 20,203 | $ | 21,956 | ||||||
| Short-term investment in TowerJazz Semiconductor Ltd. | 406 | 909 | ||||||||
| Accounts receivable, net | 1,585 | 4,143 | ||||||||
| Inventories | 3,764 | 3,344 | ||||||||
| Other current assets | 613 | 772 | ||||||||
| Total current assets | 26,571 | 31,124 | ||||||||
| Property and equipment, net | 2,181 | 2,312 | ||||||||
| Other assets | 211 | 192 | ||||||||
| TOTAL ASSETS | $ | 28,963 | $ | 33,628 | ||||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||
| Current liabilities: | ||||||||||
| Revolving line of credit | $ | - | $ | - | ||||||
| Trade payables | 2,464 | 2,152 | ||||||||
| Accrued liabilities | 1,118 | 1,303 | ||||||||
| Deferred royalty revenue | 8 | 328 | ||||||||
| Current portion of debt and capital lease obligations | 141 | 408 | ||||||||
| Total current liabilities | 3,731 | 4,191 | ||||||||
| Long-term liabilities: | ||||||||||
| Capital lease obligations, less current portion | 146 | - | ||||||||
| Other long-term liabilities | 148 | 124 | ||||||||
| Total liabilities | 4,025 | 4,315 | ||||||||
| Stockholders' equity: | ||||||||||
| Common stock, at par value | 39 | 38 | ||||||||
| Additional paid-in capital | 190,025 | 186,304 | ||||||||
| Accumulated other comprehensive income | 113 | 616 | ||||||||
| Accumulated deficit | (165,239 | ) | (157,645 | ) | ||||||
| Total stockholders' equity | 24,938 | 29,313 | ||||||||
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 28,963 | $ | 33,628 | ||||||
| QUICKLOGIC CORPORATION SUPPLEMENTAL DATA (Unaudited) |
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| Percentage of Revenue | Change in Revenue | |||||||||||||||||
| Q4 2011 | Q3 2011 | Fiscal 2011 | Fiscal 2010 | Q3 2011 to Q4 2011 | 2010 to 2011 | |||||||||||||
| COMPOSITION OF REVENUE | ||||||||||||||||||
| Revenue by product (1): | ||||||||||||||||||
| New products | 39 | % | 23 | % | 25 | % | 36 | % | 39 | % | (43 | )% | ||||||
| Mature products | 61 | % | 77 | % | 75 | % | 64 | % | (36 | )% | (7 | )% | ||||||
| Revenue by geography: | ||||||||||||||||||
| North America | 45 | % | 35 | % | 41 | % | 35 | % | 6 | % | (5 | )% | ||||||
| Europe | 9 | % | 31 | % | 20 | % | 17 | % | (76 | )% | (10 | )% | ||||||
| Japan | 22 | % | 11 | % | 13 | % | 11 | % | 63 | % | (6 | )% | ||||||
| China | 13 | % | 11 | % | 14 | % | 27 | % | (8 | )% | (56 | )% | ||||||
| Rest of world | 11 | % | 12 | % | 12 | % | 10 | % | (22 | )% | (7 | )% | ||||||
| (1) | New products represent products introduced since 2005, and include ArcticLink, ArcticLink II, Eclipse II, PolarPro, PolarPro II, and QuickPCI II products. Mature products include Eclipse, pASIC1, pASIC2, pASIC3, QuickDSP, QuickFC, QuickMIPS, QuickPCI, QuickRAM and V3 products, 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
Andrea Vedanayagam
(408) 656-4494