SAN
JOSE, Calif., Feb. 27,
2023 /PRNewswire/ -- QuickLogic Corporation (NASDAQ:
QUIK) ("QuickLogic" or the "Company"), a developer of ultra-low
power multi-core voice enabled SoCs (system on chips), embedded
FPGA (Field Programmable Gate Array) IP, and Endpoint AI
(Artificial Intelligence) solutions, today announced its financial
results for the fiscal fourth quarter and year ended January 1, 2023.
Key 2022 Achievements
- Grew New Product revenue by 50% from Fiscal 2021
- Increased Fiscal 2022 revenue by 28%
- Increased sales funnel to $118
million
- Delivered the best non-GAAP operating performance of the last
10 years
"This was a pivotal year for QuickLogic," commented Brian Faith, CEO of QuickLogic. "New wins on our
eFPGA IP-based products, continued shipments of smart connectivity
and display products, and licensing of our SensiML AI Software
Platform drove revenue and contributed to our best non-GAAP
operating performance in the last ten years. Our ability to offer a
full spectrum of solutions ranging from eFPGA IP all the way to
full chip designs has helped contribute to the continued growth in
our sales funnel, currently over $118
million, positioning us to exceed organic sales growth of
30% in 2023 and report positive non-GAAP operating income for the
full year."
Fiscal 2022 Fourth Quarter Financial Results
Total revenue for the fourth quarter of fiscal 2022 was
$4.1 million, an increase of 18.1%
compared with the third quarter of 2022, and an increase
of 10.2% compared with the fourth quarter of 2021.
New product revenue was approximately $2.8 million in the fourth quarter of
2022, an increase of $0.6
million, or 26.2%, compared with the third quarter of
2022, and an increase of $0.2
million, or 6.6%, compared with the fourth quarter
of 2021. The increase in new product revenue from the
same period a year ago was primarily due to increased eFPGA
professional services revenue partially offset by decreases in
sensor, smart connectivity, and display product revenues. The
previously announced $6.9 million
government contract contributed to revenue growth in the quarter
and will further contribute to revenue growth into 2023.
Mature product revenue was $1.2
million in both the fourth quarter and the third quarter
of 2022. Mature product revenue in the fourth quarter of 2022
increased 19.5% compared with the fourth quarter of 2021.
Fourth quarter 2022 GAAP gross margin was 51.9% compared
with 48.5% in the third quarter of 2022, and 56.1% in the
fourth quarter of 2021.
Fourth quarter 2022 non-GAAP gross margin was 53.2%
compared with 49.8% in the third quarter of 2022, and 60.1% in
the fourth quarter of 2021.
Fourth quarter 2022 GAAP operating expenses were
$3.0 million compared with
$2.9 million in the third quarter of
2022, and $3.7 million in the
fourth quarter of 2021.
Fourth quarter 2022 non-GAAP operating expenses were
$2.4 million, compared with
$2.5 million in the third quarter of
2022, and $2.7 million in the
fourth quarter of 2021.
Fourth quarter 2022 GAAP net loss was $1.2 million, or
$0.09 per share, compared with a net
loss of $1.3 million, or $0.11
per share, in the third quarter of 2022, and a net loss of
$1.6 million, or $0.13 per share, in the fourth quarter of
2021.
Fourth quarter 2022 non-GAAP net loss was $0.5 million, or $0.04 per share, compared with a net loss
of $0.9 million, or $0.07 per share, in the third
quarter of 2022, and a net loss of $0.5
million, or $0.04 per share,
in the fourth quarter of 2021.
Fiscal Year 2022 Results
Total revenue for fiscal year 2022 was $16.2 million,
compared with $12.7 million in fiscal year 2021, representing
an approximately 28% increase. New product revenue was $11.7
million, increasing 50% from $7.8
million in the prior year. Mature product revenue
was $4.5 million, decreasing from $4.9 million in fiscal
year 2021.
Fiscal year 2022 GAAP gross margin was 54.4%, compared
with 58.5% in fiscal year 2021. Non-GAAP gross margin for
fiscal year 2022 was 56.1%, compared with 60.7% in fiscal year
2021.
GAAP operating expenses for fiscal year
2022 were $12.6 million, compared with $14.9 million
in fiscal year 2021. Non-GAAP operating expenses for fiscal
year 2022 were $10.8 million, down from $12.7
million in fiscal year 2021.
GAAP net loss for fiscal year 2022 was $4.3 million, or $0.34 per share. This compares with
$6.6 million, or $0.57 per share, in fiscal year 2021.
Non-GAAP net loss for fiscal year 2022 was $2.2 million, or $0.18 per share, compared with a net loss of
$4.1 million, or $0.35 per
share, for fiscal year 2021.
Please see the section below titled "Non-GAAP Financial
Measures" for an explanation of the Company's non-GAAP financial
measures.
Conference Call
QuickLogic will hold a conference call at 2:30 p.m.
Pacific Time / 5:30 p.m. Eastern Time today,
February 27, 2023, to discuss its
current financial results. The conference call will be webcast on
QuickLogic's IR Site Events Page
at https://ir.quicklogic.com/ir-calendar. To join the live
conference, you may dial (877) 407-0792 and international
participants should dial (201) 689-8263 by 2:20 p.m. Pacific
Time. No Passcode is needed to join the conference call. A
recording of the call will be available approximately one hour
after completion. To access the recording, please call
(412) 317-6671 and reference the passcode 13736129.
The call recording, which can be accessed by phone, will be
archived through March 6, 2023, and
the webcast will be available for 12 months on the Company's
website.
About QuickLogic
QuickLogic is a fabless semiconductor company that develops low
power, multi-core semiconductor platforms and Intellectual Property
(IP) for Artificial Intelligence (AI), voice and sensor processing.
The solutions include an embedded FPGA IP (eFPGA) for hardware
acceleration and pre-processing, and heterogeneous multi-core SoCs
that integrate eFPGA with other processors and peripherals. The
Analytics Toolkit from the Company's wholly owned subsidiary,
SensiML Corporation, completes the end-to-end solution with
accurate sensor algorithms using AI technology. The full range of
platforms, software tools and eFPGA IP enables the practical and
efficient adoption of AI, voice, and sensor processing across the
multitude of mobile, wearable, hearable, consumer, industrial, edge
and endpoint IoT (Internet of Things) applications. For more
information, visit www.quicklogic.com
and https://www.quicklogic.com/blog/.
QuickLogic uses its website (www.quicklogic.com), the company
blog (https://www.quicklogic.com/blog/), corporate Twitter account
(@QuickLogic_Corp), Facebook page
(https://www.facebook.com/QuickLogic), and LinkedIn page
(https://www.linkedin.com/company/13512/) as channels of
distribution of information about its products, its planned
financial and other announcements, its attendance at upcoming
investor and industry conferences, and other matters. Such
information may be deemed material information, and QuickLogic may
use these channels to comply with its disclosure obligations under
Regulation FD. Therefore, investors should monitor the Company's
website and its social media accounts in addition to following the
Company's press releases, SEC (Securities and Exchange Commission)
filings, public conference calls, and webcasts.
Non-GAAP Financial Measures
QuickLogic reports financial information in accordance with
United States Generally Accepted Accounting Principles, or U.S.
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 certain
charges related to stock-based compensation, in calculating
non-GAAP (i) loss from operations, (ii) net loss,
(iii) net 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 like
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 the Company's 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 U.S. GAAP. A reconciliation of U.S. 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 U.S. GAAP financial measures and
the reconciliation of non-GAAP financial measures with their most
directly comparable U.S. GAAP financial measures.
Forward Looking Statements
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. These forward-looking statements include, without limitation,
expectations regarding our future business, and actual results may
differ due to a variety of factors including: 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 by competitors; our
ability to hire and retain qualified personnel; our ability to
capitalize on synergies with our subsidiary SensiML Corporation;
changes in product demand or supply; general economic conditions;
political events, international trade disputes, natural disasters
and other business interruptions that could disrupt supply or
delivery of, or demand for, the Company's products; the
unpredictable and ongoing impact of the COVID-19 pandemic; and
changes in tax rates and exposure to additional tax liabilities.
These and other potential factors and uncertainties that could
cause actual results to differ materially from the results
contemplated or implied are described in more detail in the
Company's public reports filed with the Securities and Exchange
Commission (the "SEC"), including the risks discussed in the "Risk
Factors" section in the Company's Annual Reports on Form 10-K,
Quarterly Reports on Form 10-Q and in the Company's prior
press releases, which are available on the Company's Investor
Relations website at http://ir.quicklogic.com/, and on the SEC
website at www.sec.gov/. In addition, please note that the
date of this press release is February
27, 2023, and any forward-looking statements contained
herein are based on assumptions that we believe to be reasonable as
of this date. We are not obliged to update these statements due to
latest information or future events.
QuickLogic and logo are registered trademarks of QuickLogic.
All other trademarks are the property of their respective holders
and should be treated as such.
CODE: QUIK-E
QUICKLOGIC
CORPORATION
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands,
except per share amounts)
(Unaudited)
|
|
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
January 1,
2023
|
|
January 2,
2022
|
|
October 2,
2022
|
|
January 1,
2023
|
|
January 2,
2022
|
Revenue
|
|
$
4,084
|
|
$
3,705
|
|
$
3,459
|
|
$
16,180
|
|
$
12,685
|
Cost of
revenue
|
|
1,965
|
|
1,628
|
|
1,781
|
|
7,378
|
|
5,266
|
Gross profit
|
|
2,119
|
|
2,077
|
|
1,678
|
|
8,802
|
|
7,419
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
|
|
Research and
development
|
|
1,460
|
|
1,581
|
|
1,018
|
|
5,001
|
|
6,927
|
Selling, general and
administrative
|
|
1,527
|
|
2,081
|
|
1,900
|
|
7,545
|
|
8,008
|
Restructuring
costs
|
|
56
|
|
—
|
|
—
|
|
56
|
|
—
|
Total operating
expense
|
|
3,043
|
|
3,662
|
|
2,918
|
|
12,602
|
|
14,935
|
Loss from
operations
|
|
(924)
|
|
(1,585)
|
|
(1,240)
|
|
(3,800)
|
|
(7,516)
|
Interest
expense
|
|
(50)
|
|
(31)
|
|
(44)
|
|
(148)
|
|
(130)
|
Gain on forgiveness of
debt
|
|
—
|
|
—
|
|
—
|
|
—
|
|
1,192
|
Interest and other
(expense) income, net
|
|
(179)
|
|
16
|
|
(60)
|
|
(221)
|
|
(43)
|
Loss before income
taxes
|
|
(1,153)
|
|
(1,600)
|
|
(1,344)
|
|
(4,169)
|
|
(6,497)
|
Provision for (benefit
from) income taxes
|
|
79
|
|
(17)
|
|
3
|
|
98
|
|
119
|
Net loss
|
|
$
(1,232)
|
|
$
(1,583)
|
|
$
(1,347)
|
|
$
(4,267)
|
|
$
(6,616)
|
Net loss per
share:
|
|
|
|
|
|
|
|
|
|
|
Basic and
Diluted
|
|
$
(0.09)
|
|
$
(0.13)
|
|
$
(0.11)
|
|
$
(0.34)
|
|
$
(0.57)
|
Weighted average
shares:
|
|
|
|
|
|
|
|
|
|
|
Basic and
Diluted
|
|
13,151
|
|
11,817
|
|
12,664
|
|
12,588
|
|
11,535
|
|
Note: Net loss equals
to comprehensive loss for all periods presented.
|
QUICKLOGIC
CORPORATION
CONDENSED
CONSOLIDATED BALANCE SHEETS
(in
thousands)
(Unaudited)
|
|
|
January 1,
2023
|
|
January 2,
2022
|
ASSETS
|
|
|
|
|
Current
assets:
|
|
|
|
|
Cash, cash equivalents
and restricted cash
|
|
$
19,201
|
|
$
19,605
|
Accounts receivable,
net
|
|
4,676
|
|
1,294
|
Inventories
|
|
2,493
|
|
2,078
|
Other current
assets
|
|
1,570
|
|
1,181
|
Total current
assets
|
|
27,940
|
|
24,158
|
Property and equipment,
net
|
|
465
|
|
499
|
Capitalized
internal-use software, net
|
|
1,514
|
|
1,241
|
Right of use
assets
|
|
1,397
|
|
1,529
|
Intangible assets,
net
|
|
645
|
|
752
|
Goodwill
|
|
185
|
|
185
|
Non-marketable equity
investment
|
|
300
|
|
300
|
Other assets
|
|
140
|
|
309
|
TOTAL
ASSETS
|
|
$
32,586
|
|
$
28,973
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
Revolving line of
credit
|
|
$
15,000
|
|
$
15,000
|
Trade
payables
|
|
2,391
|
|
934
|
Accrued
liabilities
|
|
1,509
|
|
1,665
|
Deferred
revenue
|
|
272
|
|
455
|
Lease liabilities,
current
|
|
850
|
|
819
|
Total current
liabilities
|
|
20,022
|
|
18,873
|
Long-term
liabilities:
|
|
|
|
|
Lease liabilities,
non-current
|
|
544
|
|
744
|
Other long-term
liabilities
|
|
125
|
|
147
|
Total
liabilities
|
|
20,691
|
|
19,764
|
Stockholders'
equity:
|
|
|
|
|
Common stock, par
value
|
|
13
|
|
12
|
Additional paid-in
capital
|
|
317,174
|
|
310,222
|
Accumulated
deficit
|
|
(305,292)
|
|
(301,025)
|
Total stockholders'
equity
|
|
11,895
|
|
9,209
|
TOTAL LIABILITIES
AND STOCKHOLDERS' EQUITY
|
|
$
32,586
|
|
$
28,973
|
QUICKLOGIC
CORPORATION
SUPPLEMENTAL
RECONCILIATIONS OF US GAAP AND NON-GAAP FINANCIAL
MEASURES
(in thousands,
except per share amounts and percentages)
(Unaudited)
|
|
|
|
Three Months
Ended
|
|
|
Year
Ended
|
|
|
January 1,
2023
|
|
January 2,
2022
|
|
October 2,
2022
|
|
|
January 1,
2023
|
|
January 2,
2022
|
US GAAP loss from
operations
|
|
$
(924)
|
|
$
(1,585)
|
|
$
(1,240)
|
|
|
$
(3,800)
|
|
$
(7,516)
|
Adjustment for
stock-based compensation within:
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenue
|
|
55
|
|
150
|
|
44
|
|
|
272
|
|
282
|
Research and
development
|
|
327
|
|
322
|
|
149
|
|
|
652
|
|
843
|
Selling, general and
administrative
|
|
306
|
|
599
|
|
294
|
|
|
1,111
|
|
1,401
|
Non-GAAP loss from
operations
|
|
$
(236)
|
|
$
(514)
|
|
$
(753)
|
|
|
$
(1,765)
|
|
$
(4,990)
|
US GAAP net
loss
|
|
$
(1,232)
|
|
$
(1,583)
|
|
$
(1,347)
|
|
|
$
(4,267)
|
|
$
(6,616)
|
Adjustment for
stock-based compensation within:
|
|
|
|
|
|
|
|
|
|
|
|
Cost of
revenue
|
|
55
|
|
150
|
|
44
|
|
|
272
|
|
282
|
Research and
development
|
|
327
|
|
322
|
|
149
|
|
|
652
|
|
843
|
Selling, general and
administrative
|
|
306
|
|
599
|
|
294
|
|
|
1,111
|
|
1,401
|
Non-GAAP net
loss
|
|
$
(544)
|
|
$
(512)
|
|
$
(860)
|
|
|
$
(2,232)
|
|
$
(4,090)
|
US GAAP net loss per
share, basic and diluted
|
|
$
(0.09)
|
|
$
(0.13)
|
|
$
(0.11)
|
|
|
$
(0.34)
|
|
$
(0.57)
|
Adjustment for
stock-based compensation
|
|
0.05
|
|
0.09
|
|
0.04
|
|
|
0.16
|
|
0.22
|
Non-GAAP net loss
per share, basic and diluted
|
|
$
(0.04)
|
|
$
(0.04)
|
|
$
(0.07)
|
|
|
$
(0.18)
|
|
$
(0.35)
|
US GAAP gross margin
percentage
|
|
51.9 %
|
|
56.1 %
|
|
48.5 %
|
|
|
54.4 %
|
|
58.5 %
|
Adjustment for
stock-based compensation included in cost of revenue
|
|
1.3 %
|
|
4.0 %
|
|
1.3 %
|
|
|
1.7 %
|
|
2.2 %
|
Non-GAAP gross
margin percentage
|
|
53.2 %
|
|
60.1 %
|
|
49.8 %
|
|
|
56.1 %
|
|
60.7 %
|
QUICKLOGIC
CORPORATION
SUPPLEMENTAL
DATA
(Unaudited)
|
|
|
|
Percentage of
Revenue
|
|
|
Change in
Revenue
|
|
|
Q4
2022
|
|
Q3
2022
|
|
Fiscal
2022
|
|
Fiscal
2021
|
|
|
Q4 2022 to
Q3 2022
|
|
2022 to
2021
|
COMPOSITION OF
REVENUE
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue by product:
(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
New products
|
|
70 %
|
|
65 %
|
|
72 %
|
|
61 %
|
|
|
26 %
|
|
50 %
|
Mature
products
|
|
30 %
|
|
35 %
|
|
28 %
|
|
39 %
|
|
|
3 %
|
|
(9) %
|
Revenue by
geography:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Asia Pacific
|
|
11 %
|
|
23 %
|
|
22 %
|
|
26 %
|
|
|
(43) %
|
|
8 %
|
North
America
|
|
74 %
|
|
69 %
|
|
67 %
|
|
54 %
|
|
|
26 %
|
|
91 %
|
Europe
|
|
15 %
|
|
8 %
|
|
11 %
|
|
20 %
|
|
|
120 %
|
|
(38) %
|
___________________
|
(1)
|
New products include
all products manufactured on 180 nanometer or smaller semiconductor
processes, eFPGA IP intellectual
property, professional services, and QuickAI and SensiML AI
software as a service (SaaS) revenue. Mature products include
all products produced on semiconductor processes larger than 180
nanometer and includes related royalty revenue.
|
View original content to download
multimedia:https://www.prnewswire.com/news-releases/quicklogic-reports-fourth-quarter-and-fiscal-2022-results-with-annual-new-product-revenue-growth-of-50-driving-improvement-in-non-gaap-operating-performance-301757049.html
SOURCE QuickLogic Corporation