About Sigma Designs, Inc.
Sigma Designs, Inc.® (
SIGMA DESINGS, INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(GAAP)
(In thousands)
July 30, January 30,
2016 2016
------------ ------------
Assets
Current Assets:
Cash and cash equivalents $68,353 $63,790
Short-term marketable securities 4,807 4,805
Restricted cash 818 900
Accounts receivable, net 45,911 30,362
Inventory 21,453 26,709
Prepaid expenses and other current assets 9,055 14,085
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Total current assets 150,397 140,651
Long-term marketable securities - 3,527
Software, equipment and leasehold improvements,
net 17,659 14,086
Intangible assets, net 33,988 37,050
Goodwill 11,145 11,068
Deferred tax assets 936 911
Long-term investments 2,000 2,884
Other non-current assets 6,067 6,492
------------ ------------
Total assets $222,192 $216,669
============ ============
Liabilities and Shareholders' Equity
Current Liabilities:
Accounts payable $23,090 $26,181
Accrued compensation and related benefits 8,145 7,360
Accrued liabilities 21,377 14,632
------------ ------------
Total current liabilities 52,612 48,173
Other long-term liabilities 21,545 15,691
------------ ------------
Total liabilities 74,157 63,864
Shareholders' equity 148,035 152,805
------------ ------------
Total liabilities and shareholders' equity $222,192 $216,669
============ ============
SIGMA DESIGNS, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(GAAP)
(In thousands, except per share data)
Three months ended Six months ended
---------------------------- ------------------
July 30, April August July 30, August
2016 30, 2016 1, 2015 2016 1, 2015
-------- -------- -------- -------- --------
Net revenue $ 61,316 $ 53,775 $ 58,307 $115,091 $114,219
Cost of revenue 31,734 29,774 29,783 61,508 56,347
-------- -------- -------- -------- --------
Gross profit 29,582 24,001 28,524 53,583 57,872
Gross margin percent 48.2% 44.6% 48.9% 46.5% 50.7%
Operating expenses:
Research and development 18,836 19,155 16,102 37,991 32,415
Sales and marketing 5,939 5,723 5,254 11,662 11,065
General and
administrative 4,820 5,138 5,005 9,958 10,786
Impairment of IP, mask
sets and design tools 300 - 955 300 988
-------- -------- -------- -------- --------
Total operating
expenses 29,895 30,016 27,316 59,911 55,254
Income (loss) from
operations (313) (6,015) 1,208 (6,328) 2,618
Interest and other income
(expense), net 415 (751) 113 (336) 784
-------- -------- -------- -------- --------
Income (loss) before
income taxes 102 (6,766) 1,321 (6,664) 3,402
Provision for income taxes 1,824 1,332 1,025 3,156 3,488
-------- -------- -------- -------- --------
Net income (loss) $ (1,722) $ (8,098) $ 296 $ (9,820) $ (86)
======== ======== ======== ======== ========
Net income (loss) per
share:
Basic $ 8.00 $ (0.22) $ 0.01 $ (0.27) $ (0.00)
Diluted $ (0.05) $ (0.22) $ 0.01 $ (0.27) $ (0.00)
Shares used in computing
net income (loss) per
share:
Basic 37,182 36,872 35,604 37,028 35,473
Diluted 37,182 36,872 36,602 37,028 35,473
SIGMA DESIGNS, INC.
RECONCILIATION OF GAAP NET INCOME (LOSS) TO NON-GAAP NET INCOME (LOSS)
(Unaudited)
(In thousands, except per share data)
Three months ended Six months ended
----------------------------- -------------------
July 30, April 30, August 1, July 30, August 1,
2016 2016 2015 2016 2015
--------- --------- --------- --------- ---------
GAAP Net Revenue $ 61,316 $ 53,775 $ 58,307 $ 115,091 $ 114,219
Items reconciling GAAP Net
Revenue to Non-GAAP:
Reversal of rebate - - (221) - (1,027)
--------- --------- --------- --------- ---------
GAAP to Non-GAAP
adjustments - - (221) - (1,027)
Non-GAAP Net Revenue $ 61,316 $ 53,775 $ 58,086 $ 115,091 $ 113,192
GAAP Cost of Revenue $ 31,734 $ 29,774 $ 29,783 $ 61,508 $ 56,347
Items reconciling GAAP
Cost of Revenue to Non-
GAAP:
Stock based compensation
expense (74) (104) (44) (178) (80)
Amortization of acquired
intangibles (940) (949) (968) (1,889) (2,030)
--------- --------- --------- --------- ---------
GAAP to Non-GAAP
adjustments (1,014) (1,053) (1,012) (2,067) (2,110)
Non-GAAP Cost of Revenue $ 30,720 $ 28,721 $ 28,771 $ 59,441 $ 54,237
GAAP Gross Profit $ 29,582 $ 24,001 $ 28,524 $ 53,583 $ 57,872
GAAP Gross Margin % 48.2% 44.6% 48.9% 46.6% 50.7%
Non-GAAP Gross Profit $ 30,596 $ 25,054 $ 29,315 $ 55,650 $ 58,955
Non-GAAP Gross Margin % 49.9% 46.6% 50.5% 48.4% 52.1%
GAAP Operating Expenses $ 29,895 $ 30,016 $ 27,316 $ 59,911 $ 55,254
Items reconciling GAAP
Operating Expenses to
Non-GAAP:
Stock based compensation
expense (1,677) (1,788) (1,211) (3,465) (2,909)
Amortization of acquired
intangibles (696) (699) (316) (1,395) (661)
Impairment of IP, mask
sets and design tools (300) - (955) (300) (988)
One time legal fee
expenses - (11) (747) (11) (1,254)
--------- --------- --------- --------- ---------
GAAP to Non-GAAP
adjustments (2,673) (2,498) (3,229) (5,171) (5,812)
Non-GAAP Operating
Expenses $ 27,222 $ 27,518 $ 24,087 $ 54,740 $ 49,442
GAAP Other Income
(Expense) and Tax $ (1,409) $ (2,083) $ (912) $ (3,492) $ (2,704)
Items reconciling GAAP
Other Income (Expense)
and Tax to Non-GAAP:
Impairment (gain on
sale) of privately held
instruments, net 584 300 126 884 (392)
Income tax adjustments - - 20 - 1,202
--------- --------- --------- --------- ---------
GAAP to Non-GAAP
adjustments 584 300 146 884 810
Non-GAAP Other Income
(Expense) and Tax $ (825) $ (1,783) $ (766) $ (2,608) $ (1,894)
Non-GAAP Net Income (Loss) $ 2,549 $ (4,247) $ 4,462 $ (1,698) $ 7,619
========= ========= ========= ========= =========
Non-GAAP Net Income (Loss)
per share:
Basic $ 0.07 $ (0.12) $ 0.13 $ (0.05) $ 0.21
Diluted $ 0.07 $ (0.12) $ 0.12 $ (0.05) $ 0.21
Shares used in computing
Non-GAAP net income
(loss) per share:
Basic 37,182 36,872 35,604 37,028 35,473
Diluted 37,527 36,872 36,602 37,028 36,352
