12 January 2017

SemiLEDs shrinks losses as quarterly revenue rebounds and R&D expenses cut further

For fiscal first-quarter 2017 (ended 30 November 2016), LED chip and component maker SemiLEDs Corp of Hsinchu, Taiwan has reported revenue of $2.7m, rebounding by 43% from $1.88m last quarter but still down 10% on $3m a year ago.

Gross margin was +4%, compared with negative 66% last quarter and negative 49% a year ago.

While selling, general & administrative (SG&A) expenses remain steady at $1.1-1.2m, R&D expenses have been cut from $0.6m a year ago and $0.4m last quarter to $0.2m. Total operating expenses have therefore been cut from $1.7m a year ago to $1.2m.

Operating margin was negative 41%, cut from negative 106% a year ago.

On a non-GAAP basis - including $0.5m income from a breach of contract lawsuit payments (a $0.3m advance receipt payment made in March 2015 plus $0.2m settlement payment made in November 2016 - net loss was $0.6m, cut from $2.8m last quarter and $3.3m a year ago.

Net cash used in operating activities was $1.12m, up from $0.53m last quarter. Hence, despite capital expenditure being cut from $154,000 last quarter to just $68,000, total free cash outflow has risen from $0.68m last quarter to $1.19m. During the quarter, cash and cash equivalents therefore fell from $6m to $4.83m.

For fiscal second-quarter 2017 (ending 28 February), SemiLEDs expects revenue to fall back to about $2.1m.

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Tags: SemiLEDs

Visit: www.semileds.com